Asked by Elaine Burnside on Jun 25, 2024
Verified
Use the adjusted trial balance for Stockton Company. Determine the net income (loss) for the period.
A) Net income is $9,250.
B) Net loss is $790.
C) Net loss is $5,670.
D) Net income is $3,580.
Net Income
The amount of profit left over after all expenses, taxes, and costs have been subtracted from total revenue.
Net Loss
The amount by which total expenses exceed total revenues in a specific period, indicating financial loss.
- Compute the net profit or deficit referenced in worksheet columns.
Verified Answer
AI
Arjun IssarJun 27, 2024
Final Answer :
D
Explanation :
To determine the net income (loss), we need to look at the "Total" column of the adjusted trial balance. The total credits ($184,190) exceed the total debits ($180,610) by $3,580, indicating a net income for the period. Therefore, the correct answer is D.
Learning Objectives
- Compute the net profit or deficit referenced in worksheet columns.
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