Question

During 2018​, Whisper Breeze Spa reported revenue of $20,000. Total expenses for the year were $15,000. Whisper Breeze Spa ended the year with total assets of $35,000​, and it owed debts totaling $15,000. At​ year-end 2017​, the business reported total assets of $30,000 and total liabilities of $ 15,000.
a. Compute Whisper Breeze Spa's net income for 2018.

Answer 1

Answer:

Whisper Breeze Spa's net income for 2018 is $5000.

Explanation:

Net income = Revenue - Total expenses  

                    = $20000 - $15000

                    = $5000

Therefore, Whisper Breeze Spa's net income for 2018 is $5000.