Question: Consider the following income statement: a. How does this income statement differ from the one presented in Exhibit 3.1? b. Did Best Care spend $367,000

Consider the following income statement:

a. How does this income statement differ from the one presented in Exhibit 3.1?
b. Did Best Care spend $367,000 on new fixed assets during fiscal year 2011? If not, what is the economic rationale behind its reported depreciation expense?
c. Explain the provision for bad debts entry.
d. What is BestCare's total profit margin? How can it be interpreted?

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