Determine the Dollar Amount of Revenues for a Venture with the Following

question 68

Multiple Choice

Determine the dollar amount of revenues for a venture with the following financial information: net profit = $60,000; assets turnover = 1.5 times; and return on assets 30%.

• A) $300,000
• B) $500,000
• C) $800,000
• D) $1,000,000
• E) $1,200,000

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Definitions:

Company's Earnings

Profits realized by a business over a specified period, often measured as net income or earnings per share.

Profit & Loss Statement

A financial report that summarizes revenues, costs, and expenses incurred during a specific period, showing the net profit or loss.

Vendor Section

A part of accounting software or a ledger where details and transactions related to suppliers are recorded and managed.

Receive Inventory

Refers to the process of accepting goods that will be sold by a business, usually logged into an inventory management system.