MNO Inc. Financials

1. Starting Inventory: $20,000
2. Purchases: $110,000
3. Closing Inventory: $30,000
4. Total Sales: $170,000
5. Total Expenses: $25,000

Assignments:

1. Ascertain the Cost of Goods Sold.
2. Draft an income statement.
3. Calculate gross profit and gross profit margin.
4. Calculate the operating profit margin.
5. Evaluate the effect of inventory turnover on profitability.