To Determine Net Sales,a Retailer Should Subtract _____ from Gross

question 66

Multiple Choice

To determine net sales,a retailer should subtract _____ from gross sales.

• A) inbound freight
• B) returns and allowances
• C) goodwill
• D) an account receivable
• E) other expenses

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Definitions:

Tax Liability

The amount of tax owed to the government by an individual, corporation, or other entity in a specific period.

Taxable Income

The amount of income that is subject to income tax after all deductions and exemptions.

Corporate Income Tax Schedule

A chart or plan detailing the rates at which corporate income is taxed by the government at different income levels.

Tax Liability

The total amount of tax owed to governmental authorities, based on income, property value, transactions, or other taxable events.