The following financial information was summarized from the accounting records of Block Corporation for the current year ended December 31: The income from operations for the Hardware Division is:
A) $103,000.
B) $76,200.
C) $166,400.
D) $66,200.

Question

The following financial information was summarized from the accounting records of Block Corporation for the current year ended December 31:  The income from operations for the Hardware Division is:
A) $103,000. 
B) $76,200. 
C) $166,400. 
D) $66,200.

Quizplus · Accepted Answer

The income from operations for the Hardware Division can be calculated as follows:
Sales revenue - Cost of goods sold - Operating expenses = Income from operations
$420,000 - $266,800 - $77,000 = $76,200
Therefore, the correct answer is B.

The Following Financial Information Was Summarized from the Accounting Records