Amarillo company experienced the following events during its first accounting period. (1) purchased $5,000 of inventory on account. (2) returned $1,000 of the inventory purchased in event 1. (3) paid the remaining balance in accounts payable for the inventory purchased in event 1. (4) sold inventory purchased in event 1 for $5,000 to customers on account. at the end of the first accounting period what would be reported on the income statement for net income?

What is the difference between secure bonds and naked bonds?

Why should managers invest any excess cash

T-comm makes a variety of products. it is organized in two divisions, north and south. the managers for each division are paid, in part, based on the financial performance of their divisions. the south division normally sells to outside customers but, on occasion, also sells to the north division. when it does, corporate policy states that the price must be cost plus 20 percent to ensure a "fair" return to the selling division. south received an order from north for 300 units. south's planned output for the year had been 1,200 units before north's order. south's capacity is 1,500 units per year. the costs for producing those 1,200 units follow