Question:
Compute the missing amount for Felix Company. You will need to work through total stockholders equity. Beginning:
Assets . . . . . . . . . . . $45,000
Liabilities . . . . . . . .29,000 Ending:
Assets . . . . . . . . . . .$55,000
Liabilities . . . . . . . .38,000
Stockholders Equity: Issuance of stock . . . . . . . .$ 0
Dividend payments . . . . . . .19,000
Income Statement: Revenues . . . . . . . . . . . . . .$242,000
Expenses . . . . . . . . . . . . . .? --------------- Requirements
1. Did Felix earn a net income or suffer a net loss for the year? Compute the amount.
2. Would you consider Felixs performance for the year to be good or bad? Give your reason.