Question

Azster Inc. recorded sales revenue for the year that ended December 31, 2014 as $67,000. Interest revenue of $5,300 and expenses of $14,000 were also recorded for the same period. What is Aster’s net profit or loss? A. net loss of $61,000 B. net profit of $58,300 C. net loss of $53,000 D. net profit of $53,000

Answer 1

The correct answer is B. Net profit of US$ 58,300

Explanation:

This is the information provided:

Sales revenue for 2014 = US$ 67,000

Interest revenue = US$ 5,300

Expenses = US$ 14,000

Profit or loss for 2014 = Sales revenue + Interest revenue - Expenses

Replacing with the real values:

Profit or loss for 2014 = 67,000 + 5,300 - 14,000

Profit or loss for 2014 = US$ 58,300

Like it's a positive result, then this is a profit for Azster inc.