During the Current Year,Metcalf Corporation Has the Following Items of Income

question 16

Multiple Choice

During the current year,Metcalf Corporation has the following items of income and expense:
$\begin{array}{lr} \text {Sales } &\$ 450,000 \\ \text { Cost of goods sold } &320,000 \\ \text {Dividends received } &20,000\end{array}$
Metcalf owns 37% of the corporation that distributed the dividend to Metcalf.Determine the amount reported as income before special deductions for the current year.

• A)$130,000
• B)$134,000
• C)$150,000
• D)$454,000
• E)$470,000

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Definitions:

Nonfinancial Performance Measures

Indicators used to assess aspects of a company's operations that do not directly relate to financial outcomes, such as customer satisfaction or employee turnover.

Standard Direct Materials

The predetermined cost and quantity of materials required for the production of goods, used in budgeting and costing.

Direct Materials

Raw materials that can be directly identified and easily traced to the manufacturing of a final product.

Standard Materials Price

The predetermined cost per unit of material that is used for budgeting and cost control purposes in manufacturing.