21) What is the gross margin for 2015?
22) What is the operating income for 2015?
Answer the following questions using the information below:
Beginning finished goods, 1/1/2015$ 46,000
Ending finished goods, 12/31/201538,000
Cost of goods sold250,000
23) What is the cost of goods manufactured for 2015?
24) What is gross margin for 2015?
25) What is operating income for 2015?
26) A company reported revenues of $375,000, cost of goods sold of $118,000, selling expenses of $11,000, and total operating costs of $70,000. Gross margin for the year is ________.
27) Operating income is sales revenue minus operating expenses.
28) Conversion costs include all direct manufacturing costs.
29) Designing, marketing, customer services, research and development expenses are operating costs.
30) Because costs that are inventoried are not expensed until the units associated with them are sold, a manager can produce more units than are expected to be sold in a period without reducing a firm’s net income.
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