At the End of Its First Month of Operations, Michael's

Multiple Choice

At the end of its first month of operations, Michael's Consulting Services, Inc. reported net income of $25,000. They also had account balances of: Cash, $18,000; Office Supplies, $2,000 and Accounts Receivable $10,000. The stockholders' total investment for this first month was $5,000. Calculate the ending balance in Stockholders' Equity to be reported on the Balance Sheet.

A) $30,000
B) $25,000
C) $20,000
D) $5,000
E) $7,000