At the End of Its First Year of Operations,Lockerbie and Role

Multiple Choice

At the end of its first year of operations,Lockerbie and Role Company has total assets of $3,000,000 and total liabilities of $1,200,000.The owner originally invested $200,000 in the business,but has not made any further investments or taken any withdrawals.What is the first year's net income for Lockerbie and Role Company?

A) $1,600,000.
B) $1,800,000.
C) $1,000,000.
D) $3,000,000.
E) $3,200,000.