Income Statement Analysis of XYZ Corporation

Very Hard Financial Statements Income Statement

XYZ Corporation prepares its annual financial statements. For the fiscal year ended December 31, 2023, the company reported total revenue of $1,500,000, cost of goods sold (COGS) of $900,000, operating expenses of $350,000, interest expense of $50,000, and a tax rate of 30%. Given this information, calculate the operating income and net income for XYZ Corporation.

Which of the following statements correctly describes the relationship between revenue, expenses, and the respective income figures?

Operating income is $250,000, and net income is $140,000.

Operating income is $200,000, and net income is $140,000.

Operating income is $200,000, and net income is $160,000.

Hint

Submitted5.5K

Correct4.7K

% Correct86%