Unisource Company started the first year of operations with $2,000 in cash and common stock. During 2010, the Unisource Company earned $4,600 of revenue on account. The company collected $4,200 cash from accounts receivable and paid $2,850 cash for operating expenses. Enter the transactions into the accounting equation.
1. What happened to total assets (increase or decrease and by how much)?
2. What is the cash balance on December 31, 2010?
3. What is the total shareholders’ equity on December 31, 2010?
4. What is net income for the year?