Which of the Following Expenses Does Not Affect Operating Income

question 15

Multiple Choice

Which of the following expenses does not affect operating income?

• A) Income tax expense.
• B) Cost of goods sold.
• C)Depreciation expense.
• D)Rent expense.

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Definitions:

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a given price.

Price Elasticity

An indicator of the sensitivity in the quantity of a good demanded when its price fluctuates.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a given price in a given period.

Price Change

A variation in the cost of goods or services over time, either increasing or decreasing based on market conditions.