During 2020 Quail, Inc. had sales of $86,000. In addition, during 2020 Quail received $4,000 in cash that was still unearned at the end of 2020. The company had cost of goods sold of $44,000, and it paid $40,000 for inventory during the year. What was Quail's gross profit for 2020? $42,000 $56,000 O $46,000 $50,000 None of the above

During 2020 Quail, Inc. had sales of $86,000. In addition, during 2020 Quail received $4,000 in cash that was still unearned at the end of 2020. The company had cost of goods sold of $44,000, and it paid $40,000 for inventory during the year. What was Quail's gross profit for 2020? $42,000 $56,000 O $46,000 $50,000 None of the above

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

During 2020 Quail, Inc. had sales of $86,000. In addition, during 2020 Quail received $4,000 in cash
that was still unearned at the end of 2020. The company had cost of goods sold of $44,000, and it
paid $40,000 for inventory during the year. What was Quail's gross profit for 2020?
O $42,000
$56,000
O $46,000
O $50,000
None of the above

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