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What expenses are paid out of operating income A) General Expenses B) interest Expenses C) Selling Expenses D) All of the given answers

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Question ajoutée par mohamed Hakim CMA CPA Candidate , Accounting Manager , Andersen saudi arabia
Date de publication: 2015/01/30
VENKITARAMAN KRISHNA MOORTHY VRINDAVAN
par VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.

Finance costs are non-operating costs-- i.e. cost of borrowings in the form of interests. So the excluded expenses from operating income calculation is interest expenses--

and this interest is paid out of operating income.

answer option (B) interest Expenses

Data Ram Dotel
par Data Ram Dotel , Finance and Procurement Officer , Build Mart Company WLL

 Interest Expenses is not include within Operating Income. 

Waqas Raza Khan
par Waqas Raza Khan , Accountant , Cold Store Group of Saudi Arabia

Option (B)------ Interest Expenses

Ahmed kandil
par Ahmed kandil , Cost Controller , Battour Holding Cpompany

correct answer is B 

interest expenses 

Atif Sheikh
par Atif Sheikh , Senior Staff Accountant (Acting Business-Unit-Lead) , Arthur Lawrence

B - Interest Expense is paid from Operating Income as it is not a mandatory expense for pursuing operations.

Lesley Lanag CMA CPA
par Lesley Lanag CMA CPA , Senior Accountant , Takaful Emarat Insurance (P.S.C)

I suppose this question is pertaining to the cash flow statement and not the income statement. Hence, my answer is D. All of the above.

Utilisateur supprimé
par Utilisateur supprimé

All of the given answers

 

 

 

 

 

 

Salah Othman Yousef Alshambaati
par Salah Othman Yousef Alshambaati , مدير ادارة الحسابات , شركة انفال الجديدة للتجارة والمقاولات

answer option (B) interest Expenses

Sahar Alech
par Sahar Alech , Auditor / Financial Manager , Accounting Services Office

Not d, not selling expenses, yes interest expenses

mohamed Hakim CMA CPA Candidate
par mohamed Hakim CMA CPA Candidate , Accounting Manager , Andersen saudi arabia

Answer B

interest expense is the right answer

 

Utilisateur supprimé
par Utilisateur supprimé

Answer B is correct - Interest expenses.