Reference no: EM132670704
Problem 1: The nature of non-manufacturing costs include the following except
Select one:
a. These are the costs other than direct materials and direct labor.
b. These are the costs outside production.
c. These are expenses incurred in the stage of bringing the products to the ultimate consumers.
d. These are the costs of the administration and management of the firm.
Problem 2: The following selected accounts are taken from the ledger of XYX Merchandising on June 30, 2017: Sales, P 550,000; Sales Discount, 5%; Gross profit, P209,000; operating expenses, P150,000; merchandise inventory, Jan 1, 2017 , P75,000; merchandise inventory, June 30, 2017, P50,000; Accounts Receivable Jan1, P 70,000; Accounts Receivable, June 30, P50,000.
The net income before tax is
Select one:
a. P59,000
b. P209,000
c. Answer not given
d. P522,500
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