Question - Presented below are changes in the account balances of Ping Company during the year, except for retained earnings.
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Increase(Decrease)
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Increase(Decrease)
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Cash
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$25,000
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Accounts payable
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$35,000
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Accounts receivable (net)
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(13,000)
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Bonds payable
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(20,000)
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Inventory
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54,000
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Common stock
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75,000
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Plant Assets (net)
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57,000
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Paid-in-capital
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16,000
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The only entries in Retained Earnings were for net income and a dividend declaration of $15,000.
Compute the net income for the current year using the Capital Maintenance method of income computation.