23. Income Statement Calculation  

NOP Corporation reports the following financial information: Sales Revenue $220,000, Cost of Goods Sold $90,000, Operating Expenses $50,000, Interest Expense $5,000, and Income Tax Expense $15,000. Calculate the net income for NOP Corporation and explain the calculation.

To calculate NOP Corporation's net income, we start with the company's total revenue and deduct expenses. First, we subtract the cost of goods sold and operating expenses to determine the operating income. Then, we deduct interest expense and income tax expense from operating income. The resulting amount represents NOP Corporation's net income for the period.