On an income statement, net sales minus cost of goods sold equals
A) delivered cost of purchases.
B) cost of goods available for sale.
C) net income.
D) gross profit.
E) beginning inventory.

Question

Quizplus · Accepted Answer

Net sales minus cost of goods sold results in gross profit, which represents the amount of revenue left after deducting the direct cost of producing the goods sold.

On an Income Statement, Net Sales Minus Cost of Goods