Question
Current sales are $12,000 with a gross margin % of 45%. Current net profit margin is 8%. Next year sales are expected to increase by
Current sales are $12,000 with a gross margin % of 45%.
Current net profit margin is 8%.
Next year sales are expected to increase by 5%.
Next year's COGS % is expected to increase by 1% (% to % increase).
Answer the following:
What is next year's predicted Gross Margin in $?
What is the predicted % change in Gross margin?
Step by Step Solution
3.48 Rating (151 Votes )
There are 3 Steps involved in it
Step: 1
To calculate next years predicted gross margin we first need to determine the current gross margin a...
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
Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
