Use the Motorcars of Miami data in Short Exercise to compute the following: (Enter all amounts in thousands).

Motorsports of Miami, Inc.

Income Statement

Year Ended December 31, 2010

(In thousands)

Service revenue.........................$770

Cost of goods sold.................... 330

Salary expense.......................... 40

Depreciation expense ............... 30

Other expenses......................... 170

Total expenses.......................... 570

Net income .............................. $200

a. Payments to employees
b. Payments of otherexpenses

Transcribed Image Text:

Motorsports of Miami, Inc. Comparative Balance Sheets December 31, 2010 and 2009 (In thousands) Assets Current 2010 2009 Liabilities Current: 2010 2009 Cash Accounts receivable... Inventory Prepaid expense $ 28 $ 11 54 43 77 89 Accounts payable.. 48 43 24 19 54 26 16 69 Accrued liabilities 6 5 Long-term notes payable Long-term investments. Plant assets, net 54 79 229 188 Stockholders' Equity Common stock Retained earnings Total 48 38 241 $448 $415 $448 으 $415 Total