Maxfield Corporation reported net sales of $250,000, cost of goods sold of $150,000, operating expenses of $50,000,

Question:

Maxfield reported net sales of $250,000, cost of goods sold of $150,000, operating expenses of $50,000, net income of $37,500, beginning total assets of $500,000, and ending total assets of $600,000. Calculate each of the following values and explain what they mean.
(a) Profit margin ratio.
(b) Gross profit rate.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...