Hey Chegg, I calculated gross profit margin from the income statement depicted below. I just want to make sure I am correct. Please let me know.

I know that Gross Profit Margin is calculated in a few ways:

Gross Profit Margin = Sales - Cost of Goods Sold

or Gross Profit Margin = Sales - Cost of Goods Sold / Sales

or Gross Profit Margin = Revenues - Cost of Goods Sold / Revenues

For the year 7/1/07, I took (total revenues) $158,581 - $126,111 (cost of sales) / total revenues ($158,581) = .20 * 100 = 20%

Please let me know if I am correct. If not ,where did I go wrong.

458 Pant Six Management of the Corporate Capital Structure EXHIBIT 3 | Consolidated income Statements (in thousands of dollars, except per-share datal Fiscal Year Three Months Ended 2003 2004 2005 2006 772/06 7/1/07 Restaurant sales Franchise and other revenues $356,260 $418,799 $474,738 $547,968 $134,604 $156,582 3,627 3,653 4,861 6,633 1564 1,989 359.887 422.452 479,599 554,601136,168 158,581 87,806 103,813 118,480 135848 33,090 38,426 129,702 152,949 173,751 199,744 49,272 56,912 70.273 83,054 92,827 108,558 26,214 30,773 287.781 339,816 385,058 444,150 108,576 126,111 Food, beverage and paper supplies Direct operating and oocupancy Cost of Sales 21.488 28,794 36,298 43320 11,035 12.206 20,714 23,975 25,440 29,489 7,070 9,022 852 General and administrative Depreciation and amortization Pre-opening costs Severance charges Loss on impairment of PP&E Store closure costs Legal sertlement reserve 6,964 800 4,147 1,221 18,984 737 4,051 1,160 152 600 768 2,700 1.333 5,552 25,097 26,840 29,971 8,687 9,622 91 Operating income Interest income 317 571 718 Other income Equity in loss of unconsolidated JV Total other income (expense) Income belore income tax provision Income tax provision (benefit) 1,106 (22) 1,822 5,520 25,525 28,662 30,689 8,974 (143) 428 (349) (32) 718 9.713 3,393 (82) 7,709 9,172 9,689 2,061 s 5,602 17,816 $ 19,490 $21,000 s 6.013 6.320 Net income Net income per common share Basic s 0.30 s 0.93 s 1.01 s 1.08 s 0.20 $ 0.29 092 0.99 1.08 0.20 022 021 Selected Operating Data: Restaurants open at end of period Company-owned open at end of period Avg weekly tusl service rest sales 18-mo comparable rest. sales growth 108 137 188 157 193 176 s 54,806 $ 57,509 s 62,383 s 65,406 $ 65,427 $ 68.5395 5.4% 3.4% 80% 7.5% 5.9% 4.8% For te years ended Deceter 31,200,Jnuary 1, 2008, and January 2, 20o5, December 28, 2003 Severance charges represent peyerts to former presiden/CEO and former senice v vice president/senior development officer under Compeny and qandy reponts and quanteety company emings conterence cals