Question

The income statement of Trixle Motors Inc. is given to you. What is the net profit for the given period? A.

$1,600,000
B.
$ 43,500
C.
$1,665,600
D.
$1,556,500

Answer 1

D.

$1,556,500

Step-by-step explanation:

Answer 2

D.$1,556,500

Step-by-step explanation:

Net profit is calculated by subtracting total expenses from total revenue.

In the case, total revenue is equal to sales revenue + interest revenue

=1,580,000 + 20,000

=1,600,000

Total expenses will be salaries + Rent + advertisement + repair

=26,000 + 6,000 + 7,000 +4500

=43,500

net profit = 1,600,000 - 43,500

net profit =1,556,500