Use the Following Financial Information to Find the Entry You

question 86

Multiple Choice

Use the following financial information to find the entry you would make on an income statement for GROSS MARGIN for the year ended December 31, 2011: Gross Sales, $231,000; Sales Returns and Allowances, $7,700; Sales Discounts, $6,800; Merchandise Inventory, January 1, 2011, $55,200; Merchandise Inventory, December 31, 2011, $61,300; Net Purchases, $81,900; Freight In, $950; Salaries, $87,000; Rent, $20,600; Utilities, $1,500; Insurance, $2,350; and Income Tax, $17,350.

• A) $216,500
• B) $139,750
• C) $128,800
• D) $87,700

---

Definitions:

Balanced Diet

A balanced diet provides all the nutrients a person requires, without going over the recommended daily calorie intake.

Gastrointestinal (GI) pH

The level of acidity or alkalinity inside parts of the gastrointestinal tract, important for processes like digestion and absorption.

NG Tube

A medical device in the form of a tube inserted through the nose, past the throat, and down into the stomach to deliver nutrition or medication.