Gross Profit Equals the Difference Between Net Sales and

question 107

Multiple Choice

Gross profit equals the difference between net sales and

• A)operating expenses.
• B)cost of goods sold.
• C)net income.
• D)cost of goods sold plus operating expenses.

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Definitions:

Compounded Monthly

Interest calculated on the initial principal and also on the accumulated interest from previous periods on a monthly basis.

RRSP

Registered Retirement Savings Plan, a savings account, registered with the Canadian government, that defers income taxes on retirement savings until withdrawal.

Accumulate

The act of gathering or collecting over a period of time, often resulting in an increase in quantity.

Ordinary Annuity

An annuity where the payments are made at the end of each period for a fixed length of time.