Question

Sales revenue $440,000 Advertising expense 60,000 Interest expense 10,000 Salaries expense 55,000 Utilities expense 25,000 Income tax expense 45,000 Cost of goods sold 180,000 What is the gross profit

Answer 1

$65,000

Step-by-step explanation:

The gross profit formula is: Gross Profit = Revenue – Cost of Goods Sold.

so we would say, 440000 - ( 60000 + 10000 + 55000 + 25000 + 45000 + 180000 ) = $ 65000