Net Sales Minus Cost of Goods Sold Equals

question 76

Multiple Choice

Net sales minus cost of goods sold equals

• A) operating income.
• B) operating expenses.
• C) other expenses.
• D) gross profit.

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Definitions:

Ad Valorem

A term describing taxes or duties calculated as a percentage of the value of goods or property.

Quota

A government-imposed trade restriction that limits the number or monetary value of goods that can be imported or exported during a specified time frame.

Protective Tariffs

Taxes imposed on imported goods to protect domestic industries from foreign competition by making imported goods more expensive.

Trade Restrictions

Trade restrictions are government-imposed limitations on the international exchange of goods and services, such as tariffs, quotas, embargoes, or standards.