Calculate accrual net income for the year

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Cash flows during the first year of operations for the Harman-Kardon Consulting Company were as follows: Cash collected from customers, $295,000; Cash paid for rent, $31,000; Cash paid to employees for services rendered during the year, $111,000; Cash paid for utilities, $41,000.

In addition, you determine that customers owed the company $51,000 at the end of the year and no bad debts were anticipated. Also, the company owed the gas and electric company $1,100 at year-end, and the rent payment was for a two-year period.

Problem 1: Calculate accrual net income for the year

Reference no: EM132622516

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