Scott's Camera Shop Started the Year with Total Assets of $80

Multiple Choice

Scott's Camera Shop started the year with total assets of $80 000 and total liabilities of $40 000. During the year, the business earned revenues of $120 000 and incurred expenses of $70 000. Scott made no capital contributions during the year, but did make withdrawals of $60 000. What is the amount of Scott's profit for the year?

A) $40 000
B) $10 000
C) $30 000
D) $50 000