If You Saw the Label "Phenylephrine HCl" on a Decongestant

question 47

Multiple Choice

If you saw the label "phenylephrine HCl" on a decongestant, would you worry that consuming it would expose you to the strong acid hydrochloric acid, HCl?

• A) No, because it is balanced by the phenylephrine.
• B) No, because the drug is in the solid phase.
• C) No, because this is a salt made using hydrogen chloride, but it is in no way hydrogen chloride.
• D) Yes, because of the hydrochloric acid it contains.

Understand the concept of operating income and how to calculate it.

Comprehend the sequence of major activities in an organization and how they contribute to business operations.

Identify and calculate cost of goods sold (COGS) in manufacturing.

Differentiate between various types of costs (fixed, variable, product, period) and their relevance to accounting and decision making.

---

Definitions:

Gross Profit

The financial gain obtained after subtracting the cost of goods sold from net sales revenues, indicating the efficiency of core business operations.

Beginning Inventory

The value of a company's inventory at the start of an accounting period, carried over from the end of the previous period.

Days In Inventory Ratio

A financial metric indicating the average number of days a company holds inventory before selling it, calculated as inventory divided by cost of goods sold, then multiplied by 365 days.

Average Inventory

An accounting measure used to estimate the value of inventory over a certain period by averaging the beginning and ending inventory levels.