Answered step by step
Verified Expert Solution
Question
1 Approved Answer
A company reported the following in its 2024 financial statements: 2024 Sales $ 420,000 Cost of goods sold: Inventory, January 1 82,000 Net purchases 340,000
A company reported the following in its 2024 financial statements:
| 2024 | |
|---|---|
| Sales | $ 420,000 |
| Cost of goods sold: | |
| Inventory, January 1 | 82,000 |
| Net purchases | 340,000 |
| Goods available for sale | 422,000 |
| Inventory, December 31 | 86,000 |
| Cost of goods sold | 336,000 |
| Gross profit | $ 84,000 |
What is the company's 2024 gross profit ratio ?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
The gross profit ratio is a profitability ratio that measures the percentage of s...
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Cost Accounting
Authors: William K. Carter
14th edition
759338094, 978-0759338098
