The 2017 income statement for the Clothing Division of Tom Ron Surf Company is as follows: $$\begin{array} { l r }
\text { Sales } & \$ 445,000 \
\text { Operating expenses } & 270,000 \
\text { Net operating income } & 175,000 \
\text { Interest expense } & 35,000 \
\text { Earnings before taxes } & 140,000 \
\text { Income tax expense } ( 30 \% ) & 42,000 \
\text { Net income } & \$ 98,000
\end{array}$$ How much is net operating profit after taxes?
A)$108,500
B)$133,000
C)$73,500
D)$122,500

Question

The 2017 income statement for the Clothing Division of Tom Ron Surf Company is as follows: $$\begin{array} { l r } 
\text { Sales } & \$ 445,000 \
\text { Operating expenses } & 270,000 \
\text { Net operating income } & 175,000 \
\text { Interest expense } & 35,000 \
\text { Earnings before taxes } & 140,000 \
\text { Income tax expense } ( 30 \% ) & 42,000 \
\text { Net income } & \$ 98,000
\end{array}$$ How much is net operating profit after taxes?
A)$108,500
B)$133,000
C)$73,500
D)$122,500

Quizplus · Accepted Answer

The Answer of The 2017 income statement for the Clothing Division of Tom Ron Surf Company is as follows: $$\begin{array} { l r } 
\text { Sales } & \$ 445,000 \
\text { Operating expenses } & 270,000 \
\text { Net operating income } & 175,000 \
\text { Interest expense } & 35,000 \
\text { Earnings before taxes } & 140,000 \
\text { Income tax expense } ( 30 \% ) & 42,000 \
\text { Net income } & \$ 98,000
\end{array}$$ How much is net operating profit after taxes?
A)$108,500
B)$133,000
C)$73,500
D)$122,500

The 2017 Income Statement for the Clothing Division of Tom