Question

Question 2 of 38
Marks: 3
During August, 2008, PQR Supply Store generated revenues of Rs.30,000. The company's expenses were as follows: cost of goods sold of
Rs. 12,000 and operating expenses of Rs.2,000. The company also had rent revenue of Rs.500 and a gain on the sale of a delivery truck of
Rs.1,000, what will be operating income for the month of august 2008?
Rs.30000
O Rs.19500
Rs. 18500
Rs.16000​

Answer 1

Answer:

During August, 2008, PQR Supply Store generated revenues of Rs.30,000. The company's expenses were as follows: cost of goods sold of R.S. 19500

Answer 2

Operating income for August 2008 = Rs 17,500

Total Revenue for August 2008 = Store generated revenue + Rent Revenue + Sale of delivery truck

= 30,000 + 500 + 1,000

= 31,500 Rs

Total Expenses = Operating Expenses + Cost of Goods sold

= 12,000 + 2,000

= 14,000 Rs

∴ Operating Income = Total Revenue - Total Expenses

= 31,500 - 14,000

= 17,500 Rs