A firm had gross profits from sales in the amountof $180,000, operating expenses of $90,000,and federal incomes taxes of $20,000. What wasthe firm’s net income after taxes?a. $10,000b. $20,000c. $70,000d. $90,000e. $200,000

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter6: Accounting For Financial Management
Section: Chapter Questions
Problem 10P: The Moore Corporation has operating income (EBIT) of 750,000. The companys depreciation expense is...
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A firm had gross profits from sales in the amount
of $180,000, operating expenses of $90,000,
and federal incomes taxes of $20,000. What was
the firm’s net income after taxes?
a. $10,000
b. $20,000
c. $70,000
d. $90,000
e. $200,000

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