All of the Following Are Used to Compute Gross Profit

question 37

Multiple Choice

All of the following are used to compute gross profit except:

• A) sales.
• B) purchase returns and allowances.
• C) sales salary expense.
• D) purchases.

---

Definitions:

Stamping Machine

A machine used in the manufacturing process to imprint or shape items with specific designs or patterns.

Accrued Interest

Interest that has been incurred but not yet paid, typically referring to the interest on a bond since the last interest payment was made.

Land

A real estate property consisting of the earth's surface, along with any attached natural resources and rights.

Disposal of Asset

The process of selling, scrapping, or otherwise removing an asset from a company's balance sheet, often due to obsolescence, surplus, or a strategic shift.