Given the Following Totals for the Financial Statement Columns on the Worksheet

question 65

Multiple Choice

Given the following totals for the financial statement columns on the worksheet, determine the net income or loss for the period:

• A)$11,500 net income
• B)$2,700 net income
• C)$9,400 net loss
• D)$2,700 net loss

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Definitions:

Selling Expenses

Costs incurred directly and indirectly in making sales, including advertising, commissions, and salaries of sales staff.

Human Resource Management

The strategic approach to the effective management of people in a company or organization in a way that helps their business gain a competitive advantage.

Sales Discounts

Sales discounts are reductions in price offered to customers, typically to encourage prompt payment or bulk purchases.

Net Sales

The amount of sales generated by a company after deducting returns, allowances for damaged or missing goods, and any discounts allowed.