Assume Zero Opening Balances for All Balance Sheet Accounts $\bullet$ Credit Sales of $100 000, of Which $80 000 Was

question 22

Multiple Choice

Assume zero opening balances for all balance sheet accounts. $\bullet$ Credit sales of $100 000, of which $80 000 was received at year end
$\bullet$ Paid wages of $40 000
$\bullet$ Depreciation expenses was $8 000
Net profit and cash flow from operations are respectively:

• A) $32 000 and $40 000
• B) $52 000 and $32 000
• C) $52 000 and $40 000
• D) None of the above

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Definitions:

Urethra

The tube that conveys urine from the bladder to the outside of the body in both sexes, and also transports semen in the male reproductive system.

Leydig Cells

Testosterone-producing cells in the testes that react to luteinizing hormone.

Interstitial Cells

Cells located in the testes that produce testosterone, playing a key role in the development of male secondary sexual characteristics.

Testosterone

A primary male sex hormone responsible for the development of male secondary sexual characteristics, though also present in females in smaller amounts.