southeast corporation made sales of $950 million during 2024. of this amount, southeast collected cash for…

southeast corporation made sales of $950 million during 2024. of this amount, southeast collected cash for $876 million. the companys cost of goods sold was $260 million, and all other expenses for the year totaled $275 million. also during 2024, southeast paid $410 million for its inventory and $250 million for everything else. beginning cash was $75 million. a. how much was southeasts net income for 2024? b. how much was southeasts cash balance at the end of 2024? a. how much was southeasts net income for 2024? net income for 2024 in millions =

southeast corporation made sales of $950 million during 2024. of this amount, southeast collected cash for $876 million. the companys cost of goods sold was $260 million, and all other expenses for the year totaled $275 million. also during 2024, southeast paid $410 million for its inventory and $250 million for everything else. beginning cash was $75 million. a. how much was southeasts net income for 2024? b. how much was southeasts cash balance at the end of 2024? a. how much was southeasts net income for 2024? net income for 2024 in millions =

Answer

Explanation:

Step1: Recall net - income formula

Net income = Sales - Cost of goods sold - Other expenses

Step2: Substitute values

Net income = $950 - 260 - 275$ $= 415$

Step3: Recall cash - balance formula

Ending cash balance = Beginning cash + Cash collected - Cash paid for inventory - Cash paid for other things

Step4: Substitute values

Ending cash balance = $75+876 - 410 - 250$ $= 291$

Answer:

a. $415$ b. $291$