Answer:
the gross profit reported is $1,518
Explanation:
The computation of the amount of gross profit that reported is shown below:
But before that the gross profit percentage is
= (Sales - cost of goods sold) ÷ (sales)
= ($138,000 - $110,400) ÷ ($138,000)
= 20%
Now the gross profit is
= $25,300 × 20% × 30%
= $1,518
Hence, the gross profit reported is $1,518
You need to modify your questions
Answer:
(A) in the summary of significant accounting policies.
Explanation:
It has the company's financial statements and also describes the key policies that are being followed by the accounting department. This policy summary is mandated by the accounting framework like IFRS or GAAP.
Answer:
The correct answer is b. Adjusting revenues to only include organic revenue growth.
Explanation:
One of the quantitative planning techniques is the projection of financial statements or also called pro forma statements.
The applications that can be had among others are the following:
Know how the year will end for tax purposes in terms of income and deductions in order to make decisions before the end of the year.
Another application will be to know the external financing needs for the period you want to know.
The most common and practical method of projecting financial statements is based on sales.
