In January, DropoutEdu sold and delivered $100 worth of textbooks to customers. But, the customers only need to pay cash for the purchase in February. Assuming a 25% tax rate, how much would DropoutEdu report in earnings in February?

Answer: 0

Explanation: Cash is irrelevant to income statement earnings.

The goods were transferred in January, so it does not align with the reporting period (February) on the statement. Therefore, it cannot show up on the income statement.