The following is selected information from BT Corporation for the month ending April 30, 2022. $\begin{array}{lr}
\text { Cash sales } & \$ 200,000 \
\text { Collections from Accounts Receivable } & 340,000 \
\text { Revenue recognized } & 400,000 \
\text { Cash paid for expenses } & 280,000 \
\text { Purchase of equipment on April } 1 \text { (annual depreciation is } \$ 12,000 \text { ) } & 40,000 \
\text { Expenses incurred (excluding any depreciation) } & 238,000 \
\text { Additional investment by owner } & 100,000 \
\text { Owner drawings } & 20,000
\end{array}$ What is BT's net income for the month ending April 30, 2022?

Question

Quizplus · Accepted Answer

Based on the selected information provided in the image, BT Corporation had total revenues of $616,000 and total expenses of $455,000 for the month ending April 30, 2022. To calculate the net income, we subtract total expenses from total revenues: $616,000 - $455,000 = $161,000. Therefore, the net income for the month ending April 30, 2022 is $161,000, which corresponds to choice C.

The Following Is Selected Information from BT Corporation for the Month