Glorious Gloria, a Florist, Had the Following Transactions in August

Multiple Choice

Glorious Gloria, a florist, had the following transactions in August: Earned $2,000 as revenues on account; collected $4,000 from a customer for goods sold last month; incurred $600 of repair expense and paid cash; paid $200 to a supplier that it owed from the previous month. What is the net income in August?

A) $500
B) $5,700
C) $2,700
D) $1,400