객관식
Which of the following best describes the difference between gross income and net income for a company?
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4. Merchandising Operations
Net Sales
객관식
If Kaycie's company reports total sales of \$120,000, sales returns and allowances of \$5,000, and sales discounts of \$3,000, what is Kaycie's net sales?
A
\$117,000
B
\$120,000
C
\$112,000
D
\$115,000
검증된 단계별 안내1
Step 1: Understand the concept of net sales. Net sales are calculated by subtracting sales returns, allowances, and discounts from total sales. This provides the actual revenue generated from sales after accounting for reductions.
Step 2: Identify the given values in the problem. Total sales are \$120,000, sales returns and allowances are \$5,000, and sales discounts are \$3,000.
Step 3: Write the formula for net sales: Net Sales = Total Sales - Sales Returns and Allowances - Sales Discounts.
Step 4: Substitute the given values into the formula. Using MathML, the formula becomes:
Step 5: Perform the subtraction step by step. First, subtract sales returns and allowances (\$5,000) from total sales (\$120,000). Then subtract sales discounts (\$3,000) from the result obtained in the previous step.
