Restaurant 219 started business with total assets of 450000

Restaurant 219 started business with total assets of $450,000 and total liabilities of $250,000. During the year, the restaurant recorded $735,000 in revenues, $430,000 in costs and expenses, and dividends of $105,000. What is the profit for the year?

Solution

Profit = Revenues - cost and expenses - dividends

profit = $735,000 - $430,000 - $105,000

profit = $200,000