In a common size income statement for 2014,the operating expenses are expressed as

A) 28.0%
B) 30.3%
C) 43.8%
D) 100.0%

Question

In a common size income statement for 2014,the operating expenses are expressed asA) 28.0%B) 30.3%C) 43.8%D) 100.0%

ARSHDEEP SINGH · Accepted Answer

Final Answer : A, Explanation :   In a common size income statement, each item is expressed as a percentage of sales. For 2014, operating expenses are $50,000 and sales are $178,400. The calculation is   50 , 000 178 , 400 × 100 = 28.0 %  \frac{50,000}{178,400} 	imes 100 = 28.0\%  178 , 400 50 , 000 ​ × 100 = 28.0%  .

In a common size income statement for 2014,the operating expenses are expressed as

A) 28.0%
B) 30.3%
C) 43.8%
D) 100.0%

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