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Homework answers / question archive / If sales revenues are $400,000, cost of goods sold is $310,000 and operating expenses are $60,000, the gross profit is a) 400,000 b) 340,000 c) 30,000 d) 90,000

If sales revenues are $400,000, cost of goods sold is $310,000 and operating expenses are $60,000, the gross profit is a) 400,000 b) 340,000 c) 30,000 d) 90,000

Accounting

If sales revenues are $400,000, cost of goods sold is $310,000 and operating expenses are

$60,000, the gross profit is

a) 400,000

b) 340,000

c) 30,000

d) 90,000

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Computation of the gross profit:-

Gross profit = Sales revenue - Cost of goods sold

Here,

Sales revenue = $400,000

Cost of goods sold = $310,000

Gross profit = $400,000 - $310,000

= $90,000

Hence, the correct option is d) $90,000