Edward began operating his own landscaping business as a teenager, learning about costs on day 1: lawnmowers require gas and oil, and they also require maintenance! In time, he used his experience to adjust his rate of pay to $17/hour, to better cover his costs. He worked a total of 460 hours this year in his business and recognized expenses of $4,100. (a1) How much profit did Edward earn this year? Profit $ (a2) Would part of his expenses include COGS/cost of sales? His expenses include COGS.
Edward began operating his own landscaping business as a teenager, learning about costs on day 1: lawnmowers require gas and oil, and they also require maintenance! In time, he used his experience to adjust his rate of pay to $17/hour, to better cover his costs. He worked a total of 460 hours this year in his business and recognized expenses of $4,100. (a1) How much profit did Edward earn this year? Profit $ (a2) Would part of his expenses include COGS/cost of sales? His expenses include COGS.
Chapter5: Introduction To Business Expenses
Section: Chapter Questions
Problem 59P
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Transcribed Image Text:Edward began operating his own landscaping business as a teenager, learning about costs on day 1: lawnmowers require gas and oil,
and they also require maintenance! In time, he used his experience to adjust his rate of pay to $17/hour, to better cover his costs. He
worked a total of 460 hours this year in his business and recognized expenses of $4,100.
(a1) How much profit did Edward earn this year?
Profit
$
(a2) Would part of his expenses include COGS/cost of sales?
His expenses
include COGS.
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