During October, a firm had the following transactions involving revenue and expenses. Paid $1,400 for rent for October Provided services for $3,150 in cash Paid $330 for the October telephone service Provided services for $2,300 on credit Paid salaries of $1,875 to employees Paid $430 for the monthly office cleaning service Calculate the net income or net loss for the period

Secured loans are protected by collateral security. examples: title loans where the borrower uses the car title as collateral security interest rates are lower and repayments are longer therefore risk is low as a collateral security is given as guarantee to the bank in case of failure to pay the loanunsecured loans are not protected by collateral security but it is given on the creditworthiness of the borrower, trusting that she/he will pay on time. examples; payday loans is a short term loan where the borrower lends money from the bank and pays is back when the borrower receives his/her wages.interest rates are high and repayments are shorter. but the risk is high as no collateral security is given as a guarantee to the bank for payment of the loan