At the beginning of 2014, Chicks Balance Sheet included $10,000 Cash and Other Assets amounting to $380,000, liabilities consisting of a Note Payable and other items of $80,000, and Common Stock of $25,000. Joan provided Chick with accounting services for several years and was reasonably certain of the accuracy of these figures. Since Joan had always advised Chick on financial matters, Joan was also aware that during 2014, Chick had paid Cash to purchase $50,000 of Restaurant Equipment. Also during 2014, Chick had been able to repay $15,000 on the Note Payable that evidenced the restaurants liability to a Bank. Finally, Chick had received a $20,000 Cash Dividend from the Restaurant. Chick had made no additional Cash Contributions to the business during 2014. Even so, the records that Chick provided to Joan for 2014 indicated that the restaurant earned $200,000 in Cash Revenues and incurred $175,000 in Cash Expenses. The ending balance in the Cash account was $12,000.

How much Income is Chick not reporting?

How does Chicks failure to report Cash Revenue affect the Financial Statements? Are Assets over or understated? Are Liabilities over or understated? Is Owners Equity over or understated? Is Income over or understated?