How much did Kelly Company have in expenses for the year Ass

How much did Kelly Company have in expenses for the year? Assets, January 1 Liabilities, January 1 Assets, December 31 Liabilities, December 31 S 46,000 25,000 85,000 58,000 4,600 8,400 suance of stoc Revenues Expenses Dividends 3,200

Solution

Equity in beginning: Total assets 46000 Less:; Lliabilities 25,000 Equity in the beginning 21000 Equity at end Total assets 85000 Less: Liabilities 58000 Equity at the end 27,000 Increase in Equity (27000-21000) 6000 Less: Increase due to issuance f St. 4,600 Increase in RE 1400 Add: Dividend paid 3200 Net Income during the year 4,600 Revenue during the year 8400 Expense 3,800 Therefore, Expense for the yeear is $3800