Question

1. The total revenue for a given year of a firm is $1,000,000 the cost of goods sold for the same accounting period is $360,000 the total expenses incurred are $200,000. What is the net profit for the firm?

Answer 1

Answer:

The correct answer is B) $440,000.

Explanation:

Subtract the cost of goods from the revenue:

1,000,000 - 360,000 = 640,000

Now subtract the expenses:

640,000 - 200,000 = 440,000