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Based on the following data: Sales $1,000,000 Net purchases of raw materials $600,000 Cost of goods manufactured $800,000 Marketing and administrative expenses $250,000 Indirect manufacturing
Based on the following data:
| Sales | $1,000,000 |
| Net purchases of raw materials | $600,000 |
| Cost of goods manufactured | $800,000 |
| Marketing and administrative expenses | $250,000 |
| Indirect manufacturing costs | $500,000 |
| Beginning inventory | Ending inventory | |
|---|---|---|
| Work in process | $500,000 | $400,000 |
| Finished goods | $100,000 | $500,000 |
What is the gross profit for the company?
A. $200,000
B. $400,000
C. $600,000
D. $900,000
Do not copy from Chegg and give complete answer with explanation
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