Business Income Statements Answers

Last month, Korey’s Comics had $4,350 in net sales with a gross profit of $3,320 and a net income of $1,850. Calculate Korey’s gross profit margin.

Which would NOT be included on an income statement for the Best Brand Company?

Gross profit will always be _____ net income.

At his comic book store, Korey’s Comics, Korey sells approximately $3,250 in comic books each month. But as a comic book dealer, Korey only pays $1,285 for these comic books. Korey’s monthly operating expenses, including labor, are $875. Calculate Korey’s monthly net income.

Which of the following equations correctly describes how to calculate net income?a.net income = (cost of goods sold) - (net sales) - (operating expenses)b.net income = (operating expenses) - (cost of goods sold) - (net sales)c.net income = (operating expenses) + (cost of goods sold) - (net sales)d.net income = (net sales) - (cost of goods sold) - (operating expenses)