Problem:
The Play House's December 31, 2009 balance sheet showed net fixed assets of $1,238,000 and the December 31, 2010 balance sheet showed net fixed assets of $1,416,000. The company's 2010 income statement showed a depreciation expense of $214,600.
Required:
Question: What was the firm's net capital spending for 2010?
a. $404,400
b. $42,400
c. $36,600
d. $416,600
e. $392,600
Note: Show supporting computations in good form.