6 Whalisthe term applied to the excess of net income from sa

6 Whalisthe term applied to the excess of net income from sales on the cost of goods gross profit C Operating income O net Income It is called the system of continuous inventory accounting records for each transaction that affects inventory C retail C newspapers physical Perpetual Gross profit is equal to sales and cost of goods sold sales plus selling expenses sales less selling expenses sales less cost of goods sold

Solution

Answer 1 is A.

Gross Profit is the excess of net income from sales on the cost of goods sold.

Gross Profit = Sales - Cost of Goods Sold
Operating Income = Gross Profit - Operating Expenses
Net Income = Operating Income - taxes

Answer 2 is D.

Perpetual Inventory System is the system of continuous inventory accounting records for each transaction that affects inventory.

Answer 3 is D.

Gross Profit is the excess of sales over cost of goods sold.

Gross Profit = Sales - Cost of Goods Sold