Question

The following tables shows the adjusted trial balance of Scott Company:

Scott Company

Adjusted Trial Balance, December 31, 2016

Cash	$100,000
Accounts receivable	7,000
Prepaid Insurance	9,000
Office supplies	3,300
Office equipment	8,000
Accumulated depreciation - Equipment		$3,200
Building	430,000
Accumulated depreciation - Building		42,000
Accounts payable		5,800
Salaries payable		14,500
Interest payable		2,500
Long-term note payable		52,000
Common stock		50,000
Retained earnings		160,000
Dividends	20,000
Service fees earned		280,300
Salaries expense	20,000
Insurance expense	5,200
Depreciation expense - Equipment	800
Depreciation expense - Building	7,000
Total	$610,300	$610,300

The net income of the Scott Company for the year 2016 is

Select one:

a. 227,300

b. 280,300

c. 247,300

d. 297,300

Answer 1