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Hal Smith opened Smith's Repairs on March 1 of the current year. During March, the following transactions occurred and were recorded in the company's books:
1. Smith invested $35,000 cash in the business.2. Smith contributed $120,000 of equipment to the business.3. The company paid $4,000 cash to rent office space for the month.4. The company received $26,000 cash for repair services provided during March.5. The company paid $8,200 for salaries for the month.6. The company provided $5,000 of services to customers on account.7. The company paid cash of $700 for monthly utilities.8. The company received $5,100 cash in advance of providing repair services to a customer.9. Smith withdrew $7,000 for his personal use from the company.
Based on this information, net income for March would be:
HOTco, a U.S. C corporation, invents a control panel to make furnaces heat up faster. HOTco sells these control panels exclusively in the U.S. HOTco does not wish to operate abroad and, therefore, HOTco licenses its control panel know-how to FORco..
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