An income statement may be represented as follows:
A) Revenues - Liabilities = Net Income. B) Sales - Expenses = Profits.
C) Sales - Liabilities = Profits. D) Sales - Expenses = Retained Earnings.
B
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Which shopping location has the greatest concentration of convenience stores?
a. neighborhood business district b. secondary business district c. central business district d. regional shopping center
Knapper Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During January, the kennel budgeted for 2,700 tenant-days, but its actual level of activity was 2,740 tenant-days. The kennel has provided the following data concerning the formulas to be used in its budgeting: Fixed Element per MonthVariable element per tenant-dayRevenue - $37.00 Wages and salaries$3,800 $6.10Food and supplies 900 14.90Facility expenses 9,700 4.80Administrative expenses 6,600 0.10Total expenses$21,000 $25.90?The food and supplies in the flexible budget for January would be closest to:
A. $41,130 B. $41,726 C. $41,018 D. $42,243
Mike and Teresa have a monthly gross income of $5,000. They pay $1,000 per month toward taxes and $2,000 per month toward various loans. What is their debt service ratio?
A. 20% B. 30% C. 40% D. 50% E. 60%
The accrual basis of accounting:
A) Is generally accepted for external reporting because it is more useful than cash basis for most business decisions. B) Is flawed because it gives complete information about cash flows. C) Recognizes revenues when received in cash. D) Recognizes expenses when paid in cash. E) Eliminates the need for adjusting entries at the end of each period.