2 End of Chapter Assignments Help S The following informatio

2 End of Chapter Assignments Help S The following information applies to the questions displayed below.] The accounting records of Nettle Distribution show the following assets and liabilities as of December 31, 2016 and 2017 Cash office supplies office equipment Trucks Building Land $43,894 6,731 23,826 18,680 2,753 115, 374 122,895 45,14854,148 150,582 0 37,554 62,640 31,068 0 88,056 3,758 2. Compute net income for 2017 by comparing total equity amounts for these two years and using the following information: During 2017, the owner invested $33,000 additional cash in the business and withdrew $24,000 cash for personal use 31, 2016 S 178,360 Decomber 31, 2017

Solution

COMPUTATION PF INCOME STATEMENT OF THE YEAR 2017 Total Assets :                      2,016                  2,017 Cash $               43,894 $              6,731 Account Receivable $               23,826 $            18,680 Office Supplies $                  3,758 $              2,753 Office Equipment $            1,15,374 $        1,22,895 Trucks $               45,148 $            54,148 Building $                         -   $        1,50,502 Land $                         -   $            37,554 Total $            2,32,000 $        3,93,263 Less: Current Liabiliities $               62,640 $            31,068 Less: Note Payable $                         -   $            88,056 Net Balance is onwer\'s Equity $            1,69,360 $        2,74,139 Net diiference in assets & liabilities of the year 2017 = $        2,74,139 Less: Opening Equity of Shareholder\'s $        1,69,360 Add: Owners investment $            33,000 Less: Owner\'s Withdrawals $            24,000 Profit $            95,779 Less: Owner\'s Withdrawals Equity Dcember 31, 2016 $        1,69,360 Add: Onwer\'s Invesmtnet 33000 Add: Net Profit $            95,779 $        2,98,139 Less: Owners Withdrawals 24000 Equity December 31, 2017 $        2,74,139