Answered

Join the IDNLearn.com community and start exploring a world of knowledge today. Discover in-depth and reliable answers to all your questions from our knowledgeable community members who are always ready to assist.

What is x-cel company's net income or net loss if it had revenue of $1,800, salary expense of $500, utility expense of $250, and withdrawals of $1,000 during october?

Sagot :

Akandzidn

Answer: Net income of $50

Explanation:

  • net income is the sum of a business's cost of goods sold, expenses, interest, taxes, depreciation, and amortization subtracted from total revenue
  • net loss occurs when the sum of total expenses is greater than the total revenue generated by the company or business

Can be calculated by adding expenses and subtracting them from total revenue:

[tex]500+250+1000 =[/tex] Total Expenses ($)

$1750 = Total expenses

$1800 > $1750

  • As a result of the revenue being greater than expenses the company will experience a net income

Subtract total expenses from total revenue:

[tex]1800-1750[/tex] = Net income

$50 = Net income

We appreciate your participation in this forum. Keep exploring, asking questions, and sharing your insights with the community. Together, we can find the best solutions. Discover the answers you need at IDNLearn.com. Thank you for visiting, and we hope to see you again for more solutions.