Given the Following Information, Calculate the Firm's NET PROFIT (Or

question 66

Multiple Choice

Given the following information, calculate the firm's NET PROFIT (or LOSS) . $$\begin{array} { l l } \text { Returns and allowances } & \$ 60,000 \\\text { Gross sales } & \$ 460,000 \\\text { Cost of sales } & \$ 200,000 \\\text { Expenses } & \$ 100,000 \\\text { Gross margin } & \$ 200,000\end{array}$$

• A) $85,000
• B) $100,000
• C) $50,000
• D) $160,000
• E) a loss of $200,000

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Definitions:

Expectations Decrease

A reduction in the anticipated or desired outcomes, often leading to adjusted objectives or satisfaction levels.

Rough Order of Magnitude

An early estimate that gives a general sense of a project's size, cost, or duration, often with wide variances.

Ballpark Estimate

A rough approximation or preliminary calculation of cost or value, not intended to be exact but giving a general idea.

Risk Analysis

The systematic study and assessment of potential hazards that could impede achieving project or organizational goals, focusing on prevention and mitigation strategies.