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.

---

Definitions:

Alkaline Fluid

A solution with a pH greater than 7, indicating it has fewer hydrogen ions and is basic in nature.

Nutritive Fluid

A liquid rich in nutrients that provides essential nourishment to organisms or cells for growth and maintenance.

Epididymis

A coiled tube that receives sperm from the testis and conveys it to the vas deferens.

Sexual Reproduction

The process by which organisms produce offspring through the combination of genetic materials from two different cells, typically involving male and female gametes.