Last Year,a Firm Had Net Income of $62,000 on Sales

question 62

Multiple Choice

Last year,a firm had net income of $62,000 on sales of $595,000.The projected sales for next year are $654,500.Assume the firm uses the percentage of sales method for pro forma statements.What is the projected net income?

• A) $59,500
• B) $65,500
• C) $68,200
• D) $71,500
• E) $71,900

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Definitions:

Supply-Chain Management

The oversight and management of a product's lifecycle from production to distribution, ensuring efficiency and quality.

Raw Materials

The basic, unprocessed resources that are used in the production of goods and services, ranging from metals and oil to grains and lumber.

Tying Arrangements

A business practice where the sale of one product is linked to the purchase of another product, which the buyer may not necessarily want.

Corporate Vertical

A term not recognized as a standard business or economic concept. NO.