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Joseph Czerniakow is the owner of a fish market. The following information summarizes Josephs expenses for the year: Sales revenues $250,000 Cost of goods sold
Joseph Czerniakow is the owner of a fish market. The following information summarizes Josephs expenses for the year:
Sales revenues | $250,000 |
Cost of goods sold | $105,000 |
Salaries \ Wages part-time employees | $ 96,000 |
Rent and utilities | $ 24,000 |
Joseph expects that the landlord will rise his rent by 1,000 per month. Moreover, Joseph do not expect any substantial changes in his sales revenues. If Josephs expectations prove true, what would be the operating income for the coming year?
A. $13,000
B. $25,000
C. -$13,000
D. -$5,000
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