calculate the net income after corporate income tax is paid for quarter 1.\nincome statement\n| |q1…

calculate the net income after corporate income tax is paid for quarter 1.\nincome statement\n| |q1 (x1000)|q2 (x1000)|\n|--|--|--|\n|net sales|115|125|\n|cogs|(30)|(31)|\n|gross profit|85|94|\n|overhead|(32)|(41)|\n|pre - tax income|53|53|\ncorporate income tax = $11,130\nnet income = $?

calculate the net income after corporate income tax is paid for quarter 1.\nincome statement\n| |q1 (x1000)|q2 (x1000)|\n|--|--|--|\n|net sales|115|125|\n|cogs|(30)|(31)|\n|gross profit|85|94|\n|overhead|(32)|(41)|\n|pre - tax income|53|53|\ncorporate income tax = $11,130\nnet income = $?

Answer

Explanation:

Step1: Recall net - income formula

Net income = Pre - tax income - Corporate income tax

Step2: Identify pre - tax income and tax amount

Pre - tax income for Q1 is $53\times1000 = 53000$ dollars, and corporate income tax is $11130$ dollars.

Step3: Calculate net income

Net income=$53000 - 11130$ $=41870$

Answer:

$41870$