Which of the following costs is most likely to be the largest expense item on the statement of earnings of a merchandising chain such as Walmart?
A) Wage, salary and beneﬁts expense
B) Advertising
C) Cost of Sales
D) Income tax expense

Question

Quizplus · Accepted Answer

Cost of Sales is typically the largest expense for a merchandising chain like Walmart, as it represents the cost of goods that the company sells to its customers, which is a direct cost related to the core business operation.

Which of the Following Costs Is Most Likely to Be