Question

QuietClean Inc. is an office building housekeeping contractor that employs mostly migrant labor to clean small office buildings. Most of the work is second shift after the office workers of the firm's clients have gone home for the day. Generally the professional housekeeper(s) arrive driving a van that also has the material and equipment for cleaning at 5:00 and spend the next seven hours emptying waste baskets, vacuuming, cleaning the lavatories, mopping the floors, sponging off desks, etc. The following is some financial information regarding the business: Revenue Depreciation Selling Expense 6,000,000 360,000 300,000 Rent for the Headquarters Liability Insurance Cleaning Staff Wages 160,000 60,000 2,400,000 Fuel, Tires etc. for the Van 100,000 Interest Expense Vacuum bags, sponges and 129,600 Heating and Electricity Chemical Cleaning Agents Staff and Admin Salaries 160,000 other short-lived supplies 600,000 Profit taxes 600,000 Assets 300,000 300,000 1,800,000

Answer 1