Question
Flingers Inc. reveals the following information in their annual report for FY 2014. Earnings and Expenses Sales $10,000,000 Cost of goods sold $5,000,000 Pretax earnings
Flingers Inc. reveals the following information in their annual report for FY 2014.
| Earnings and Expenses | |
| Sales | $10,000,000 |
| Cost of goods sold | $5,000,000 |
| Pretax earnings | $500,000 |
| Selected Balance Sheet Items | |
| Merchandise inventory | $80,000 |
| Total assets | $2,000,000 |
Upper management plans to cut cost of goods sold by 5% for the coming year but retain the same sales. What willFlingers' profit margin be for 2015?
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The Routledge Handbook Of State Owned Enterprises
Authors: Luc Bernier, Massimo Florio, Philippe Bance
1st Edition
1138487694, 978-1138487697
