Calculate Net Income Given the Following Information: Fixed Asset Turnover

question 3

Multiple Choice

Calculate net income given the following information: fixed asset turnover = 8 times; profit margin = 18.75%; net fixed assets = $30,000.

• A) $42,000
• B) $43,000
• C) $44,000
• D) $45,000
• E) $46,000

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Definitions:

Affection

pertains to feelings of fondness or tenderness directed towards someone or something, influencing interpersonal relationships and behaviors.

Loyalty

A strong feeling of support or allegiance towards someone or something.

Leader's Reputation

The collective perception or opinion about a leader's capabilities, character, and effectiveness, held by members of an organization or society.

Pay Increase

An enhancement in the amount of money given to an employee as compensation for their job.