Sam Runs a Proprietorship That Generated $75,000 in Profits in 20x0

question 8

Multiple Choice

Sam runs a proprietorship that generated $75,000 in profits in 20x0. Included in these profits are: a) $10,000 - amortization expense; b) $5,000 - reasonable bad debt expense; c) $55,000 - cost of goods sold; and $8,000 - meals and entertainment with clients. Sam's capital cost allowance has been accurately calculated at $8,500 for the year. How much is Sam's business net income for tax purposes?

• A)$80,500
• B)$75,000
• C)$73,500
• D)$89,000

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Definitions:

Conflict Management

The process of handling, managing, and resolving disputes and disagreements in a constructive manner.

Organizational Values

Core principles and beliefs that guide and shape the behaviors, decisions, and operations of an organization.

Stakeholders

Individuals or groups who are affected by or can affect the outcomes of an organization's actions, decisions, policies, practices, or goals.

Nonverbal Communication

The process of conveying a message or information without the use of words, through body language, facial expressions, gestures, and other physical cues.