Use a Modern Software Tool to Perform Statistical Calculations -Which of the Following Formulas Would Be Used to Calculate

question 27

Multiple Choice

Use a modern software tool to perform statistical calculations. Using the spreadsheet below to answer the following question(s) .
The spreadsheet below shows the net income model for a company that sells shoes. $\begin{array}{|l|l|l|} \hline& \text { A } & \text { B } \\\hline 1 & \text { Net Income Model } & \\\hline 2 & & \\\hline 3 & \text { Data } & \\\hline 4 & & \\\hline 5 & \text { Sales } & \$ 10,000,000 \\\hline 6 & \text { Cost of Goods Sold } & \$ 6,400,000 \\\hline 7 & \text { Administrative Expenses } & \$ 500,000 \\\hline 8 & \text { SellingExpenses } & \$ 900,000 \\\hline 9 & \text { Depreciation Expenses } & \$ 750,000 \\\hline 10 & \text { Interest Expenses } & \$ 70,000 \\\hline 11 & \text { Taxes } & \$ 620,000 \\\hline 12 & & \\\hline 13 & \text { Model } & \\\hline 14 & & \\\hline 15 & \text { Gross Profit } & \$ 3,600,000 \\\hline 16 & \text { Operating Expenses } & \$ 2,150,000 \\\hline 17 & \text { Net Operating Income } & \$ 1,450,000 \\\hline 18 & \text { Eamings Before Taxes } & \$ 1,380,000 \\\hline 19 & & \\\hline 20 & \text { Net Income } & \\\hline\end{array}$
-Which of the following formulas would be used to calculate earnings before taxes?

• A) =B15-B16+B6
• B) =B15-B5
• C) =B15-B16
• D) =B17-B10

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Definitions:

Automobile Factory

A manufacturing facility dedicated to producing automobiles, encompassing assembly lines and machinery specific to vehicle production.

Foreign Direct Investment

A company or individual from one country investing in another country by either setting up business operations or buying business assets there.

Foreign Portfolio Investment

Investment in a country's securities, such as stocks and bonds, by non-resident investors, not aiming for control but rather intended for financial return.

Net Capital Outflow

The difference between the domestic purchase of foreign assets and the foreign purchase of domestic assets over a given period, reflecting the flow of capital from and into a country.