Below is last month's business income statement for Korey's Comics. Using the information provided in the statement, determine both the gross profit and net income for Korey's Comics last month. Korey?s Comics Monthly Business Income Statement Revenue Sales: $5,670 Returns: $185 Net Sales: Cost of Goods Sold Beginning Inventory: $625 Purchases: $1,460 Goods Available for Sale: Ending Inventory: $665 Total Cost of Goods Sold: GROSS PROFIT: Operating Expenses Wages: $1,230 Rent: $650 Utilities: $185 Advertising: $90 Taxes: $125 Total Operating Expenses: NET INCOME: a. $4,065; $1,785 b. $5,485; $1,785 c. $4,065; $2,280 d. $5,485; $2,280
ANSWER IS A !!!