Please help, have an accounting test and need help with sample questions?

Question

End of year 1End of year 2
Accounts Payable$ 3,850$ 4,150
Accounts Receivable$ 8,500 $ 9,780
Common Stock$10,000$10,000
Retained Earnings$ ?$ ?
Cash $15,000$25,500
Supplies$ 750 600

*What is the amount of net income for year 2?
*What is the amount of supplies used during year 2 assuming that supplies purchased during that year had a cost of $1,950?
*If Sales Revenue for the year was $20,000, what was the amount of cash collected from customers during year 2?
*Assume that Abest declared and paid $1,000 dividends during year 2. What is the amount of net income for that year?

I know its a lot of work, but if you can give me any help at all it would be greatly appreciated. Also please explain how to get answers. thanks

in response to the comment about me not knowing how to do this problem. I am a freshman majoring in finance taking an intro accounting course for the first time. there is no reason to be rude.

Answer 1

To help with the net income question - I would imagine that you covered the balance sheet equation in Week 1 of this course - It is the starting point of every beginning accounting course. So Assets = Liabilities + Equity. Assets are Cash, A/R and Supplies. Liabilities are Accounts Payable. Equity is Common Stock and Retained Earnings. So from this knowledge you should be able to fill-in the question marks for Retained Earnings. Your income for year 2 is your change in Retained Earnings from Year 1 to Year 2.

I hope that this explanation makes it very easy for you to get to the answer and that when you take the test you will understand the concepts behind the question so you can ACE it. If it doesn't post more questions and I'll be happy to answer (I think I'm going to have to give up the public accounting career and go be a professor - I love this stuff :-))

Answer 2

Supplies: 750 starting + 1950 purchased - 600 ending = 2100 used.

Collections: 8500 starting receivables + 20000 sales - 9750 ending receivables = 18750 collected.

Net Income: requires more thought than I'm motivated to give.

Answer 3

A = L +OE plug in for year one numbers to get Retained Earnings Y1.

A= L +OE plug in everying for year two, and get the difference. I come up with Net Income of $10,830 for Y2.

Answer 4

yea thats what I want...an accountant who has no idea how to do accounting. In the interests of your future clients, I will refuse to answer this one.

Edit:

Rude or not, the answer stands. If you don't know the answer open your book or get some tutoring. Don't just take the lazy way out and ask for the answer.