For Each of the Following Costs, Classify Them as Either

question 184

Multiple Choice

For each of the following costs, classify them as either:
-Office equipment depreciation

• A)Direct costs
• B)Indirect costs
• C)Neither direct nor indirect costs

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Definitions:

Net Income

The profit or loss of a company after all revenues, expenses, taxes, and costs have been subtracted from total revenue.

Income Tax Expense

The total amount of income tax that a company is obligated to pay to federal, state, and local tax authorities.

Earnings Per Share

A financial metric calculated by dividing the net earnings available to common shareholders by the average outstanding shares.

Stockholders' Equity

The residual interest in the assets of a corporation after deducting liabilities, representing the ownership stake of shareholders.