Determining Net Income From Journal Entries Practice Problem - Acc 311, The University of Texas

3. Determining Net Income From Journal Entries

in Chapter 3 (Problem 3 of 5)

Moderate

The following journal entries were recorded by a company during the month of September. What was net income for the month?

Journal Entry 1
Cash			4,000
Accounts Receivable			3,000
	Sales			7,000

Journal Entry 2
Cash			2,000
	Accounts Receivable			2,000

Journal Entry 3
Inventory			6,000
	Accounts Payable			6,000

Journal Entry 4
Accounts Payable			2,800
	Cash			2,800

Journal Entry 5
Cost of Goods Sold			3,200
	Inventory			3,200

Journal Entry 6
Operating Expenses			2,400
	Accounts Payable			2,400

Determine Net Income for September

1,400