During 2013, Rumbo Corporation Had Cash and Credit Sales of $21,760

Multiple Choice

During 2013, Rumbo Corporation had cash and credit sales of $21,760 and $15,225, respectively. The company also collected accounts receivable of $9,765 and incurred operating expenses of $27,700, 80 percent of which were paid during the year. In addition, Rumbo paid $4,500 for an 18-month advertising campaign that began on September 30. Rumbo's accrual-basis net income (loss) for 2009 was

A) $9,285
B) $8,535
C) $14,075
D) $(775)