Syd's CoReported Comprehensive Income of $7,600 for the Current Year

question 39

Multiple Choice

Syd's Co.reported comprehensive income of $7,600 for the current year.It had unrealized losses on available-for-sale securities of $1,700 after tax,and a foreign currency translation gain of $1,500 after tax.What is net income for the current year?

• A)$7,800
• B)$7,600
• C)$7,400
• D)$7,200

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Definitions:

Profit-Maximizing Rule

A principle stating that profit maximization occurs when a firm expands output until marginal cost is equal to marginal revenue.

MR = MC

The condition for profit maximization in economic theory, where marginal revenue (MR) equals marginal cost (MC).

Economic Profit

The discrepancy across total turnover and total spendings, including expenses both explicit and implicit.

Profit Per Unit

The profit earned for each unit of a good or service sold, calculated by subtracting the cost per unit from the selling price per unit.