Use the Following Information for Questions
Hogan Corp Other Information:
Hogan's Income Tax Rate Is 30

question 49

Multiple Choice

Use the following information for questions
Hogan Corp.'s trial balance of income statement accounts for the year ended December 31, 2007 included the following: $\begin{array}{lr}&\text { Debit } & \text { Credit }\\\text { Sales }&&\$140,000\\\text { Cost of sales } & \$ 50,000 \\\text { Administrative expenses } & 25,000 \\\text { Loss on sale of equipment } & 9,000 \\\text { Commissions to salespersons } & 8,000\\\text { Interest revenue }&&5,000\\\text { Freight-out } & 3,000 \\\text { Loss due to earthquake damage } & 12,000 \\\text { Bad debt expense } & 3,000\\\text { Totals }&\$ 110.000 &\$ 145.000\\\end{array}$ Other information:
Hogan's income tax rate is 30%.Finished goods inventory: $\begin{array}{lr}\text { January } 1,2007 & \$ 80,000 \\\text { December } 31,2007 & 70,000\end{array}$ On Hogan's multiple-step income statement for 2007,
-Extraordinary loss is

• A)$8,400.
• B)$12,000.
• C)$14,700.
• D)$21,000.

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Definitions:

Abercrombie & Fitch

An American lifestyle retailer that focuses on casual wear for young consumers, known for its distinctive brand image and marketing strategies.

Market Segment

A distinct group of consumers within a broader market who share similar needs, preferences, or characteristics that a company targets with specific products or marketing strategies.

Market Development

Involves expanding the potential market through new users or new uses for a product, aiming at increasing the total market for the product.

Newly Developed Products

Refers to items that have been brought to the market recently, showcasing innovative features or advancements not previously seen.