17 A business income statement for the year ended 31 December 2004 showed a net profit of

Question

17 A business income statement for the year ended 31 December 2004 showed a net profit of $83,600. It was later

found that $18,000 paid for the purchase of a motor van had been debited to motor expenses account. It is the

company’s policy to depreciate motor vans at 25 per cent per year, with a full year’s charge in the year of acquisition.

What would the net profit be after adjusting for this error?

A $106,100

B $70,100

C $97,100

D $101,600

Answer 1

正确答案：C
83,600 + 18,000 – 4,500 = 97,100