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Sonbull [250]
3 years ago
12

Challenge Tennis​ & Recreation's operating activities for the year are listed below. Purchases ​$174 comma 800 Operating exp

enses 62 comma 600 Beginning inventory 27 comma 600 Ending inventory 37 comma 800 Sales revenue 334 comma 000 What is the gross profit for the​ year?
Business
1 answer:
makkiz [27]3 years ago
6 0

Answer:

The answer is $169,400

Explanation:

Gross profit is a line item under income statement and it is the difference between net sales(revenue) and cost of sales. It is a measure of profitability ( net sales - cost of sales?

Cost of sales = beginning Inventory + purchases - ending Inventory

$27,600 + $174,800 - $37,800

$164,600.

Now, cost of sales is: ( net sales - cost of sales)

$334,000 - $163,800

=$169,400

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Frank Town Farms has sales of $481,600, costs of $379,700, depreciation expense of $32,100, and interest paid of $8,400. The tax
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Answer:

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so correct option is A. $41,752

Explanation:

given data

sales price = $481,600

costs price = $379,700

depreciation expense = $32,100

interest paid = $8,400

The tax rate = 32%

to find out

net income did the firm earn for the period

solution

we get here net income that earn for the period is express as

net income = ( sales price - costs price - depreciation expense - interest paid ) × ( 1 - tax rate )   ......................... 1

put here value we get

net income = ( $481,600 - $379,700 - $32,100 - $8,400 ) × ( 1 - 32% )

net income = $41752

so correct option is A. $41,752

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