GK
ACCOUNTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Cost of goods sold equals
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Sales - Gross Profit
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Opening stock + Purchases + Direct expenses + Manufacturing expenses - Closing stock
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Both (a) and (b)
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Sales - Net Profit
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Explanation:
Detailed explanation-1: -Sales revenue minus cost of goods sold is a business’s gross profit. Cost of goods sold is considered an expense in accounting and it can be found on a financial report called an income statement.
Detailed explanation-2: -The correct answer is Opening stock + purchases – Closing stock + Direct costs.
There is 1 question to complete.