Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

1. Introduction to Accounting

The Financial Statements

Financial Accounting

1. Introduction to Accounting

The Financial Statements

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Multiple Choice

Arundel Company disclosed the following information for its recent calendar year: Revenues of \$500,000, Expenses of \$350,000, and Dividends of \$30,000. What is the amount of net income reported on the income statement?

$170,000

$500,000

$150,000

$120,000

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Verified step by step guidance

Step 1: Understand the formula for calculating net income. Net income is determined using the formula: Net Income = Revenues - Expenses.

Step 2: Identify the relevant figures from the problem. Revenues are given as $500,000, and Expenses are given as $350,000.

Step 3: Substitute the values into the formula. Using MathML, the formula becomes:

Net Income = Revenues - Expenses

. Substituting the values:

500,000 - 350,000

Step 4: Note that dividends are not included in the calculation of net income. Dividends are distributions to shareholders and are reported separately in the statement of retained earnings, not the income statement.

Step 5: Perform the subtraction to find the net income. The result of the subtraction will give the net income reported on the income statement.