The following amounts were taken from the accounting records…
The following amounts were taken from the accounting records at December 31, current year: Service Revenue $600,000 Salaries Expense $200,000 Dividends Paid 50,000 Rent Expense 86,000 Buildings 110,000 Land 100,000 Accounts Payable 40,000 Accounts Receivable 28,000 Common Stock 60,000 Retained Earnings, Jan. 1,current year 400,000 Utilities Expense 19,000 Notes Payable 30,000 Income Tax Payable 4,000 Income Tax Expense 110,000 A) Calculate net income for the year. B) Calculate retained earnings at the end of the year.