Daily, Inc

question 23

Multiple Choice

Daily, Inc. appropriately used the installment method of accounting to recognize income in its financial statement. Some pertinent data relating to this method of accounting include: What amount to be realized gross profit should be reported on Daily's income statement for 2015?

• A) $132,000
• B) $152,000
• C) $176,000
• D) $216,000

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Definitions:

Mouth

The opening in the body of most animals through which food is ingested.

Villi

Small, finger-like projections that extend into the lumen of the small intestine, increasing its surface area for nutrient absorption.

Small Intestine

A part of the gastrointestinal tract following the stomach and duodenum, where most of the end absorption of nutrients and minerals from food takes place.

Digestive System

The complex system of organs and glands responsible for the breakdown and absorption of food, extracting nutrients and eliminating waste.