Question

Miss T's Ice Tea hit the ground running with its new product launch this year. At the end of the year, after taxes, they have $2,390,000 in revenues. They also have paid $800,000 for ingredients and supplies, $235,000 in wages, and $75,000 in rent. How much accounting profit did they make

Answer 1

Answer:

the accounting profit did they make is $1,280,000

Explanation:

The computation of the accounting profit is shown below:

= Revenue - ingredients - wages - rent

= $2,390,000 - $800,000 - $235,000 - $75,000

= $1,280,000

hence, the accounting profit did they make is $1,280,000

The same should be considered and relevant