Finney Company began the year by issuing $80,000 of common stock for cash. The company recorded revenues of $740,000, expenses of $640,000, and paid dividends of $40,000. What was Finney's net income for the year?
A)$60,000
B)$140,000
C)$100,000
D)$180,000

Question

Quizplus · Accepted Answer

To find the net income, we use the formula:
Net Income = Revenue - Expenses - Dividends
Substituting the given values, we get:
Net Income = $740,000 - $640,000 - $40,000
Net Income = $60,000
Therefore, the net income for the year is $60,000. Option (C) is the correct answer.

Finney Company Began the Year by Issuing $80,000 of Common