QUESTION 17 2 points Save Answer A line on the income statement that indicates what a department has left after covering cost of goods and sold and direct expenses is: the gross margin the net income. the contribution margin. None of the above answers is correct. QUESTION 18 2 points Save Answer A maintenance department would be an example of a: cost center O petty cash. O direct expense O profit center QUESTION 19 2 points Save Answer A unit or department that incurs costs and generates revenues is known as a: O profit center. O cost center. O revenue center O corporate center QUESTION 20 2 points Save Answer A unit or department that incurs costs but does not generate revenues is known as a: O cost center. O profit center division center. O revenue center. QUESTION 21 2 points Save Answer All of the following are used to compute gross profit except Osales. O purchases. Osales salary expense. O purchase returns and allowances. QUESTION 22 2 points Save Answer Which of the following would be a direct expense of a sales department? O Sales salaries Administrative expense O Advertising expense O Both Sales salaries and Advertising expense