Andruw Company had the following assets and liabilities on the dates indicated.
|
December 31
|
Total Assets
|
Total Liabilities
|
|
2011
|
$400,000
|
$250,000
|
|
2012
|
$460,000
|
$300,000
|
|
2013
|
$590,000
|
$400,000
|
Andruw began business on January 1, 2011, with an investment of $100,000.
Instructions
From an analysis of the change in owner's equity during the year, compute the net income (or loss) for:
(a) 2011, assuming Andruw's drawings were $15,000 for the year.
(b) 2012, assuming Andruw made an additional investment of $45,000 and had no drawings in 2012.
(c) 2013, assuming Andruw made an additional investment of $15,000 and had drawings $25,000 in 2013.