Need Correct answer.. General Account FOR A RETAILING OR MANUFACTURING ENTITY, GROSS PROFIT IS EQUAL TOSALES LESS:A. TAXATION EXPENSEB. COST OF SALESC. ALL EXPENSESD. ALL EXPENSES OTHER THAN COST OF SALESE. NONE OF THE ABOVE.

Final Answer:B. Cost of Sales Step-by-Step Explanation:Step 1: Definition of Gross ProfitGross…

Answered: FOR A RETAILING OR MANUFACTURING…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 22MC: A simple income statement ________. A. combines all revenues into one category B. does not combine...

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Similar questions

In accounting for by-products, when the by-products are sold for more than the estimated sales value, the difference is: a. credited to Gain or Loss on Sale of By-Product b. debited to Gain or Loss on Sale of By-Product c. immaterial, so not recorded. d. credited to By-Product Inventory.
this is general account question
Net Sales Cost of Goods Sold is equal to: - a. Gross Expenses. b. Gross Profit. c. Operating Expenses. d. Net Income from Operations.
Which of the following expressions is incorrect? Gross profit - operating expenses = net income Net income + operating expenses = gross profit ● Sales revenue - cost of goods sold - operating expenses = net income ● Operating expenses - cost of goods sold = gross profit
-PROBLEM 1: TRUE OR FALSE 1. All expenses of an entity are classified as either distribution costs (selling expenses) or administrative expenses under the function of expense method. 2. The only difference between the function of expense and the nature of expense methods is the presentation of "cost of goods sold" under the function of expense method. 3. The main difference between the function and the nature of expense methods is the segregation of operating and non- operating items under the function of expense method. 4. Freight-in is presented as distribution cost under the function of expense method. 5. PAS 1 requires an entity to provide additional disclosures when it uses the nature of expense.method.
operating income is: a- net sales less cost of goods sold b- earning before interset and tax c- earning before tax and nonrecurring items d- gross profit less operating expenses
Gross profit will result if: O Sales revenues are greater than operating expenses. Operating expenses are greater than cost of goods sold. Sales revenues are greater than cost of goods sold. O Operating expenses are less than net income.
Selling expenses are subtracted from the sales price in computing amount realized. True or false
What type of expenses are deducted as a part of gross profit? A)"Cost of goods sold" only B)"Selling, general and administrative" only C)"Cost of goods sold" and "Selling, general and administrative expense" D)"Cost of goods sold", "Selling, general and administrative expense" and E)"Interest expense"
Both, distribution costs and administrative expenses are part of the cost of goods sold in the statement of income. Question 13 options: 1) False 2) True
A single-step income statement: a. reports gross profit b. does not report cost of goods sold c. reports sales revenues and "other revenues and gains" in the revenues section of the income statement d. reports operating income separately
Which of the following represents the components of the income statement for a service business Sales Revenue - Cost of Goods Sold = gross profit Service Revenue - Operating Expenses = operating income Sales Revenue - Cost of Goods Manufactured = gross profit Service Revenue - Cost of Goods Purchased = gross profit

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FOR A RETAILING OR MANUFACTURING ENTITY, GROSS PROFIT IS EQUAL TO SALES LESS: A. TAXATION EXPENSE B. COST OF SALES C. ALL EXPENSES D. ALL EXPENSES OTHER THAN COST OF SALES E. NONE OF THE ABOVE.