exam 2 | ACG 2021 - INTRO FINANCIAL ACTG, Quizzes of Financial Accounting

TERM 1

Gross Margin/Net sales

DEFINITION 1

gross margin(profit) percentage-: measures how much of

sales are left after subtracting CGS, which will be left to

cover other expenses and provide profit

TERM 2

Sales - CGS

DEFINITION 2

gross margin (multi-step income statement)

TERM 3

gross margin - operating expense

DEFINITION 3

income before taxes (multi-step income statement)

TERM 4

income before taxes - income taxes

DEFINITION 4

net income (multi-step income statement)