Question

Huang Trucking Company was organized on January 1. At the end of the first quarter (three months) of operations, the owner prepared a summary of its activities as shown in the first row of the following tabulation: Required: 1. For each of the six transactions given in this tabulation, enter what you consider to be the correct amounts. The first transaction is illustrated. (Amounts to be deducted and losses/outflows should be indicated with a minus sign.) $ Computation of Income Cash 72,000 $ 48,000 oi 52.000 0 (11.100) (21,800)| (11,100) Summary of Transactions a. Services performed for customers, $72,000, of which $24,000 remained uncollected at the end of the quarter. b. Cash borrowed from the local bank, $52,000 (one-year noto). Small service truck purchased at the end of the quarter to be used in the business for two years c. starting the next quarter: cost, $11,100 cash. d Wages earned by employees, $21,800, of which one-hall remained unpaid at the end of the quarter Service supplies purchased for use in the business, $5,370 cash, of which $1,020 were unused e. (still on hand) at the end of the quarter. f. Other operating expenses. $30,000, of which $6,300 remained unpaid at the end of the quarter. 9. Based only on these transactions, compute the following for the quarter: Income (or loss) Cash inflow (or outflow) (4.350) (5,370) (30,000) (23,700)

how to find out the Income(or loss) and the Cash Inflow( or Outflow)

Answer 1

	Income	cash
a.	72,000	48,000
b.	0	52,000
c.	0	(11,100)
d =>21,800 / 2=>10,900	(21,800)	(10,900)
e	(4,350)	(5,370)
f	(30,000)	(23,700)
g
income (or loss)	15,850
cash inflow (or outflow)		48,930