If Gross Profit Exceeds Operating Expenses,the Company

question 32

Multiple Choice

If gross profit exceeds operating expenses,the company:

• A)had a net loss.
• B)broke even.
• C)had a net income.
• D)Not enough information given.

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Definitions:

Factory Overhead Cost

This refers to the indirect manufacturing costs that are not directly tied to the production of a specific product, such as the cost of electricity for the manufacturing plant.

Supervisor Salaries

The compensation paid to individuals who are responsible for overseeing and managing teams or departments within an organization.

Maintenance

The process of preserving a condition or situation or the process of keeping equipment or systems operational and in good working condition.

Staffing Budget

A staffing budget outlines the financial resources allocated for hiring and compensating employees within a specific time period.