Compute net income for the first year for tri fecta

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Point 1: Tri Fecta, a partnership, had revenues of $380,000 in its first year of operations. The partnership has not collected on $45,500 of its sales and still owes $39,200 on $180,000 of merchandise it purchased. There was no inventory on hand at the end of the year. The partnership paid $34,600 in salaries. The partners invested $48,000 in the business and $29,000 was borrowed on a five-year note. The partnership paid $2,610 in interest that was the amount owed for the year and paid $9,100 for a two-year insurance policy on the first day of business.

Question 1: Compute net income for the first year for Tri Fecta.

Reference no: EM132477419

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