Calculate the total comprehensive income for the year if operating profit is $456,000,the tax rate is 30%,finance charges are $88,200 and other comprehensive income for the year (net of tax)is $195,000.
A) $452,460
B) $514,200
C) $426,000
D) $562,800

Question

Quizplus · Accepted Answer

First, calculate the net profit: Operating profit - Finance charges = $456,000 - $88,200 = $367,800. Then, calculate the tax: $367,800 * 30% = $110,340. Net profit after tax = $367,800 - $110,340 = $257,460. Finally, add the other comprehensive income: $257,460 + $195,000 = $452,460.

Calculate the Total Comprehensive Income for the Year If Operating