Toth Company had the following assets and liabilities on the dates indicated.

Toth began business on January 1, 2018, with an investment of $100,000 from stockholders.
Instructions From an analysis of the change in stockholders’ equity during the year, compute the net income (or loss) for:

(a) 2018, assuming Toth paid $15,000 in dividends for the year.

(b) 2019, assuming stockholders made an additional investment of $50,000 and Toth paid no dividends in 2019.

(c) 2020, assuming stockholders made an additional investment of $15,000 and Toth paid dividends of $30,000 in 2020.

Transcribed Image Text:

December 31 2018 2019 2020 Total Assets $400,000 $480,000 $590,000 Total Liabilities $260,000 $300,000 $400,000