cincinnati law institute reported the following accounts and balances at december 31: account debit credit…

cincinnati law institute reported the following accounts and balances at december 31: account debit credit cash $11,300 accounts receivable 2,260 prepaid insurance 2,920 supplies 1,260 accounts payable $5,650 common stock 4,650 retained earnings 1,030 service revenue 8,300 salaries expense 630 utilities expense 1,260 totals $19,630 $19,630 using the information in the table, calculate the companys reported net income for the period. $8,300. $1,360. $6,410. $4,390.
Answer
Explanation:
Step1: Recall net - income formula
Net income = Service Revenue - Salaries Expense - Utilities Expense
Step2: Identify revenue and expenses
Service Revenue = $8300$, Salaries Expense = $630$, Utilities Expense = $1260$
Step3: Calculate net income
Net income = $8300-(630 + 1260)=8300 - 1890=6410$
Answer:
$6410$