ABC Company had the following ledger balances for the year 2021. Equipment P 380,000 Advertising Expense P 48,000 Prepaid insurance 26,250 Cash 62,000 Service Income 380,000 Salaries Expense 108,000 Accrued Interest Income 30,000 Utilities Expense 19,750 Gas and Oil Expense 75,000 Unused Supplies 36,000 Unearned Service Income 25,000 Owner, Capital 340,000 Owner, Drawing 20,000 Accrued Rent Expense 40,000 How much is the net income for the year 2021?
ABC Company had the following ledger balances for the year 2021. Equipment P 380,000 Advertising Expense P 48,000 Prepaid insurance 26,250 Cash 62,000 Service Income 380,000 Salaries Expense 108,000 Accrued Interest Income 30,000 Utilities Expense 19,750 Gas and Oil Expense 75,000 Unused Supplies 36,000 Unearned Service Income 25,000 Owner, Capital 340,000 Owner, Drawing 20,000 Accrued Rent Expense 40,000 How much is the net income for the year 2021?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please answer the question correctly with solution. Thank you.
![ABC Company had the following ledger balances for the year 2021.
Equipment
P 380,000
Advertising Expense
B 48,000
Prepaid insurance
26,250
Cash
62,000
Service Income
380,000
Salaries Expense
108,000
Accrued Interest Income
30,000
Utilities Expense
19,750
Gas and Oil Expense
75,000
Unused Supplies
36,000
Unearned Service Income 25,000
Owner, Capital
340,000
Owner, Drawing
20,000
Accrued Rent Expense
40,000
How much is the net income for the year 2021?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F03d4d787-5e7f-4516-a4b9-d0524f6b763c%2Ff2610998-2af1-41b8-97bb-7d0479820403%2F6p6l0h9_processed.jpeg&w=3840&q=75)
Transcribed Image Text:ABC Company had the following ledger balances for the year 2021.
Equipment
P 380,000
Advertising Expense
B 48,000
Prepaid insurance
26,250
Cash
62,000
Service Income
380,000
Salaries Expense
108,000
Accrued Interest Income
30,000
Utilities Expense
19,750
Gas and Oil Expense
75,000
Unused Supplies
36,000
Unearned Service Income 25,000
Owner, Capital
340,000
Owner, Drawing
20,000
Accrued Rent Expense
40,000
How much is the net income for the year 2021?
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