Operating Income Calculation for Alpha Corp

Consider a company, Alpha Corp, which categorizes its revenues into two distinct streams: primary and secondary. For the fiscal year ending December 31, 2022, Alpha Corp reported the following income statement highlights:

• Net sales (primary revenue): $1,250,000
• Cost of goods sold (COGS): $750,000
• Operating expenses: $300,000
• Other income (secondary revenue): $50,000
• Income tax expense: $50,000

Based on this information, ask yourself: What is the operating income for Alpha Corp for the fiscal year ending December 31, 2022?