Eric Company has the following information:

Total Revenues 860,000

Sales Returns and Allowances 50,000

Sales Discounts 30,000

Ending Inventory 100,000

What is the amount of net revenues for Eric Company?

The amount of net revenues for Eric Company is 780,000

Explanation:

Net revenue is the sales (or total revenue) of a company from which returns, discounts, and other items are subtracted from.

Net revenue is calculated by following formula:

Net Revenue = Gross Revenue - Directly Related Selling Expenses (These are: Sales Returns, Sales Discounts ...)

Eric Company has the dа ta: Total Revenues 860,000, Sales Returns and Allowances 50,000, Sales Discounts 30,000

Net revenues for Eric Company = 860,000 - (50,000 + 30,000) = 860,000 - 80,000 = 780,000