For a Retailing or Manufacturing Entity,gross Profit Is Equal to Sales

question 39

Multiple Choice

For a retailing or manufacturing entity,gross profit is equal to sales less:

• A) purchases.
• B) all expenses.
• C) cost of sales.
• D) all expenses other than cost of sales.

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Definitions:

Unadjusted Cost

The original cost of an asset or operation before any adjustments, such as depreciation or amortization, have been applied.

Goods Sold

The total quantity of goods a company has sold to its customers during a specific period, typically reported in sales revenue figures.

Cost of Goods Available

The total cost of all goods a company has available for sale at the end of a period, including both beginning inventory and goods produced or purchased during the period.

Schedule

A timetable for when events are to happen or tasks are to be completed.