Use the information below to answer the following question(s).

During the year, Cornell produced and sold 60,000 units of product at a sale price of $8.00 per unit. There was no beginning inventory of product at the start of the year.
-What is the operating income (loss) for the year at Cornell Corporation?

Question

Use the information below to answer the following question(s).
  
During the year, Cornell produced and sold 60,000 units of product at a sale price of $8.00 per unit. There was no beginning inventory of product at the start of the year.
-What is the operating income (loss) for the year at Cornell Corporation?

Quizplus · Accepted Answer

Operating income is calculated by subtracting operating expenses from net sales. In this case, operating expenses are $588,000 and net sales are $870,000. Therefore, operating income is $870,000 - $588,000 = $282,000.

Use the Information Below to Answer the Following Question(s)