A company has net sales of $223,000,cost of goods sold $85,000,operating expenses of $54,000,and other expenses of $6,000.The company's operating income is:

Question

Quizplus · Accepted Answer

Operating income is calculated as Net Sales - Cost of goods sold - Operating expenses. So, the operating income of the company would be:

Operating income = 223,000 - 85,000 - 54,000 = $84,000.

Hence the best choice for the company's operating income is C) $84,000.

A Company Has Net Sales of $223,000,cost of Goods Sold