The following is selected information from Motley Corporation for the fiscal year ending October 31, 2018. $\begin{array}{lr}
\text { Cash received from customers } & \$ 300,000 \
\text { Revenue recognized } & 375,000 \
\text { Cash paid for expenses } & 180,000 \
\text { Cash paid for computers on November 1,2017 that will be used } &\
\text { for 3 years (annual depreciation is $ \$ 16,000 $ )}&48,000\
\text { Expenses incurred, including interest, but excluding any depreciation}& 220,000 \
\text { Proceeds from a bank loan, part of which was used to pay for}\
\text { the computers}&100,000
\end{array}$ Based on the accrual basis of accounting, what is Motley Corporation's net income for the year ending October 31, 2018?

Question

The following is selected information from Motley Corporation for the fiscal year ending October 31, 2018. $\begin{array}{lr}
\text { Cash received from customers } & \$ 300,000 \
\text { Revenue recognized } & 375,000 \
\text { Cash paid for expenses } & 180,000 \
\text { Cash paid for computers on November 1,2017 that will be used } &\
\text { for 3 years (annual depreciation is $ \$ 16,000 $ )}&48,000\
\text { Expenses incurred, including interest, but excluding any depreciation}& 220,000 \
\text { Proceeds from a bank loan, part of which was used to pay for}\
\text {  the computers}&100,000
\end{array}$ Based on the accrual basis of accounting, what is Motley Corporation's net income for the year ending October 31, 2018?

Quizplus · Accepted Answer

The Answer of The following is selected information from Motley Corporation for the fiscal year ending October 31, 2018. $\begin{array}{lr}
\text { Cash received from customers } & \$ 300,000 \
\text { Revenue recognized } & 375,000 \
\text { Cash paid for expenses } & 180,000 \
\text { Cash paid for computers on November 1,2017 that will be used } &\
\text { for 3 years (annual depreciation is $ \$ 16,000 $ )}&48,000\
\text { Expenses incurred, including interest, but excluding any depreciation}& 220,000 \
\text { Proceeds from a bank loan, part of which was used to pay for}\
\text {  the computers}&100,000
\end{array}$ Based on the accrual basis of accounting, what is Motley Corporation's net income for the year ending October 31, 2018?

The Following Is Selected Information from Motley Corporation for the Fiscal