Revenue and Expense Data for Reuters Company Are as Follows

question 82

Essay

Revenue and expense data for Reuters Company are as follows:
$\begin{array}{lrl}2012&2013\\\$ 18,000 & \$ 24,750 & \text { Administrative expense } \\375,000 & 500,000 & \text { Cost of goods sold } \\12,000 & 11,600 & \text { Income tax } \\600,000 & 750,000 & \text { Net sales } \\154,800 & 182,250 & \text { Selling expenses }\end{array}$

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Definitions:

Limited Liability Company

A business structure that combines the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation.

Partnership

An unincorporated business form consisting of two or more persons conducting business as co-owners for profit.

Corporation

A legal entity that is separate and distinct from its owners, who are shareholders; it has its own rights, privileges, and liabilities independent of its shareholders.

American Red Cross

A humanitarian organization that provides emergency assistance, disaster relief, and education inside the United States.