Streif Inc., a local retailer, has provided the following data for the month of June: Merchandise inventory, beginning balance$46,000Merchandise inventory, ending balance$52,000Sales$260,000Purchases of merchandise inventory$128,000Selling expense$13,000Administrative expense$40,000 The net operating income for June was:
A. $132,000
B. $85,000
C. $126,000
D. $79,000
Answer: B
You might also like to view...
A comprehensive chart of accounts and a review of complex or unusual transactions by supervisory personnel are control procedures necessary for proper classification of accounts
a. True b. False Indicate whether the statement is true or false
Under the perpetual inventory system, which of the following accounts would not be used?
A) Cost of Goods Sold B) Merchandise Inventory C) Sales D) Purchases
Fundamental questions of justice arise because employees are subject to considerable harms from a lack of security in their jobs and do not have much power to create security.
Answer the following statement true (T) or false (F)
Which of the following is true of service companies?
A) All costs of service companies are product costs. B) Service companies modify and resell products they buy from manufacturers. C) Revenues of service companies are only recorded on cash receipt. D) Service companies carry no inventories of products for sale.