1. Hazard Company had $24,000 beginning inventory and $27,000 ending inventory. Net sales were $171,000; purchases, $91,000; purchase returns and allowances, $2,000; and freight-in $3,000. Cost of goods sold for the period is $89,000. What is Hazard'sgross profit percentage (rounded to the nearest percentage)?
A. 48 %
B. 16 %.
C. 14 %
D. 52%
2. Choose the correct statement - Other comprehensive income:
A. affects earnings per share.
B. includes extraordinary gains and losses.
C. has no effect on income tax.
D. includes unrealized gains and losses on available-for-sale investments.