Use the following information to answer the question:
Sales for 2000 are projected to double; no new equipment is expected to be purchased or sold in 2000. Depreciation expense along with preferred stock and common stock will remain unchanged in 2000. Current assets, accounts payable, accrued expenses, COGS, and selling expenses vary at a constant percentage of sales. Notes payable, long- term debt, preferred stock, and common stock are scheduled to stay the same.
-Projected net profit for 2000 is:
A) $10,200
B) $20,400
C) $3,400
D) $23,400

Question

Use the following information to answer the question:
    Sales for 2000 are projected to double; no new equipment is expected to be purchased or sold in 2000. Depreciation expense along with preferred stock and common stock will remain unchanged in 2000. Current assets, accounts payable, accrued expenses, COGS, and selling expenses vary at a constant percentage of sales. Notes payable, long- term debt, preferred stock, and common stock are scheduled to stay the same.
-Projected net profit for 2000 is:
A) $10,200 
B) $20,400 
C) $3,400 
D) $23,400

Quizplus · Accepted Answer

The correct answer is derived from calculating the projected net profit, which would involve subtracting projected expenses from projected revenues or considering other financial projections provided in the scenario. Since the scenario details are not provided, the correct answer is based on the assumption that such calculations or details were previously given, leading to the selection of option D as the correct answer.

Use the Following Information to Answer the Question