Which One of the Following Statements Is Correct

question 72

Multiple Choice

Which one of the following statements is correct?

• A)Pretax income is equal to gross profit minus interest expense.
• B)Gross profit is equal to sales minus costs of goods sold and depreciation.
• C)Operating expenses are indirect costs.
• D)Costs that vary directly with production are classified as operating expenses.
• E)The change in retained earnings is equal to net income plus dividends paid.

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Definitions:

Carbon Dioxide

This is a gas that cannot be seen or smelled, emerging from the combustion of carbon and various organic substances, along with being a part of the respiration process. Naturally occurring in our atmosphere, it is critical for the photosynthesis process in plants.

Large City

A highly populated urban area with a significant economic, political, and cultural influence both regionally and nationally.

Acid Deposition

A broad term that includes any form of precipitation with acidic components, such as sulfuric or nitric acid, falling to the ground.

Highest Levels

The most extreme or advanced point within a specific context or system.