Answer to Question #179622 in Accounting for awnna

Question

The gross profit of a firm is $3 600, bad debts $100,rent paid $120, rent prepaid $20, general expenses$80 and discount received $110. The net profit is

Answer 1

If the gross profit of a firm is $3 600, bad debts $100, rent paid $120, rent prepaid $20, general expenses $80 and discount received $110, then the net profit is NP = 3,600 - (100 + 120 + 20 + 80) + 110 = $3,390.