Delta Company reports the following balance sheet information for 2014.
1 January 2014 31 December 2014
Assets $60 000 $70 000
Liabilities $12 000 $14 000
Assuming the capital contribution made by the owners during 2011 was $3000 and withdrawals were $12 000,profit for 2014 must have been:

Question

Quizplus · Accepted Answer

The increase in assets ($10,000) minus the increase in liabilities ($2,000) plus the withdrawals ($12,000) minus the capital contribution ($3,000) equals the profit for 2014 ($17,000).

Delta Company Reports the Following Balance Sheet Information for 2014