3 accounting questions. I'm trying to help my little sister with her homework...any accountants out there??

Lily began business on January 1, 2007, with an investment of $100,000. in 2007 total asset was 400,000 and liabilities 250,000 assuming the lily%26#039;s drawing was 15,000 for the year. what is the revenue an the net income.





b 2008, assuming Lily made an additional investment of 50,000 and had no drawings in 2008. (460,000 assets and 360,000 liabilites)





c 2009, assuming Lily made an additional investment of $15,000 and had drawings of $30,000 in 2009. (590,000 assets--400,000 liabilites.

3 accounting questions. I%26#039;m trying to help my little sister with her homework...any accountants out there??
A. disregard investment, you don;t need it here. assuming her pay is 15000, ( you called it drawing) you have to add that to the laibities becuase its been or will be paid which will lower you net income. revenue is the same as net income 400,000 -250,000-15000. is net income.





b. 460,000 - 360,000 will give you your net income


c. do the same formula
Reply:here%26#039;s an answer - have your %26#039;little sister%26#039; do her own homework.
Reply:in Accountong solution you always have to write assumptions first





1.) Assuming all revenue is from services Lily is catering to





answer to q1 is 65000 $





Asnwer to Q2 Negtaive (-) 100000$





Answer to Q3 is 75000 $





Do you need calculations as well





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Reply:I know you mean well, but Y/A wont be there in her exams!





I think the best thing you can do is ask her to explain to you how the question should be answered. It will have been covered in class so she will know, it is just a case of sitting down and giving it some thought. That will build her confidence in being able to answer these questions herself.





You could try turning the roles around, you be the student and she can be the teacher, anything she learns in class she has to teach you, maybe in 2 hours a week. People always pay more attention if they know they have to pass the information to someone else and takes learning to the level of understanding and not just being able to give a memorised answer.





Sorry for not giving the answers, but hope I helped?


Its nice that you are interested in your sister%26#039;s studies.


:o)



beauty