Suppose for the year 2015, Speedy Chef, a fast food restaurant, had a Gross Prof
ID: 2341065 • Letter: S
Question
Suppose for the year 2015, Speedy Chef, a fast food restaurant, had a Gross Profit of $1,281,648. Speedy Chef had the following expenses:
Cost of Goods Sold $1,251,167
Selling Expense $70,578
Rent Expense $156,941
Utilities Expense $73,994
Insurance Expense $35,148
Wages $505,245
General & Administrative $24,358
Miscellaneous $32,968
Interest Expense $4,059
Income Tax Expense $60,596
What would Speedy Chef's Income Before Taxes be for 2015?
Answer Choices:
$347,876
$378,357
$317,357
$287,280
Explanation / Answer
Gross Profit $ 1,281,648.00 Less: Selling Expenses $ 70,578.00 Rent Expense $ 156,941.00 Utilities Expense $ 73,994.00 Insurance Expense $ 35,148.00 Wages $ 505,245.00 General & Administrative $ 24,358.00 Miscellaneous $ 32,968.00 Interest Expense $ 4,059.00 $ 903,291.00 Income Before Taxes $ 378,357.00