Return to Harvey Penick Golf Academy in question 1. What should appear on the Penick income statement for the year ended December 31, 2008, for the trading investments?

a. $50,000

b. $55,000

c. $5,000 unrealized gain

d. Cannot be determined from the data given

Use the following information. Neal Company had the following information relating to credit sales in 20X3:

Accounts receivable12/31/X3

$ 8,000

Allowance for uncollectible accounts 12/31/X3 (before adjustment)

750

Credit sales during 20X3

38,000

Cash sales during 20X3

12,000

Collections from customers on account during 20X3

41,000