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On December 31, 20X4, a company prepared adjusting entries that included the following items:
Recorded depreciation expense: $39,000Performed the services related to unearned accrued sales revenue: $37,000Recorded accrued interest expense: $18,000Used insurance: $5,000; the insurance was initially recorded as prepaidRent revenue earned: $3,000; the rent was initially prepaid by the tenant and credited to unearned rent revenue.
Question 1: If the company reported pretax income of $310,000 prior to the adjusting entries, how much is the company's pretax income after the adjusting entries?
Group of answer choices
A) $293,000
B) $324,000
C) $290,000
D) $366,000
E) $288,000
Financial Statement Analysis and Preparation
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