Net Sales of Clean Spectacles Is $90,000, Cost of Goods

question 42

Multiple Choice

Net sales of Clean Spectacles is $90,000, cost of goods sold is $54,000, selling expenses are $17,000, and general expenses are $12,500. Which of the following is its gross profit?

• A) $19,000
• B) $173,500
• C) $36,000
• D) $83,500
• E) $6,500

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Definitions:

Production

The process of creating goods or services by combining various inputs such as labor, materials, and technology to meet consumer demand.

Technical

Relating to the practical application of scientific knowledge, especially in industrial or commercial objectives, often requiring specific expertise.

Marketing

The process of exploring, creating, and delivering value to meet the needs of a target market in terms of goods, services, or information.

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