During 2014, Yoder Enterprises Generated Revenues of $120,000

question 141

Multiple Choice

During 2014, Yoder Enterprises generated revenues of $120,000. The company's expenses were as follows: cost of goods sold of $60,000, operating expenses of $24,000 and a loss on the sale of equipment of $4,000. Yoder's gross profit is

• A) $120,000.
• B) $60,000.
• C) $36,000.
• D) $32,000.

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Definitions:

Consumption

The process of using goods and services to satisfy needs and wants.

Nonlabor Income

Income received from sources other than employment or work effort, such as dividends, interest, or rent.

Quinces

A fruit related to apples and pears, with a yellow exterior and hard flesh, often used in cooking and making preserves.

Kumquats

Small, orange-colored, and edible citrus fruits with a sweet outer peel and tart inner flesh, commonly eaten whole or used in marmalades and jellies.