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Please complete each of the four problems below using the information and data provided. During the current year, merchandise is sold for $ 3 ,
Please complete each of the four problems below using the information and data provided.
During the current year, merchandise is sold for $ The cost of the merchandise sold
is $
a What is the amount of the gross profit?
b Compute the gross profit percentage gross profit divided by sales
c Will the income statement necessarily report a net income? Explain.
For a recent year, Target Corporation reported revenue of $ million. Its gross profit was
$ million. What was the amount of Target's cost of merchandise sold?
The following data were extracted from the accounting records of Catz Company for the year
ended April Y:
a Prepare the cost of merchandise sold section of the income statement for the year ended
April Y using the periodic inventory system.
b Determine the gross profit to be reported on the income statement for the year ended April
a
Catz Company cost of merchandise sold
b
Catz Company gross profit
For the fiscal year, sales were $ sales discounts were $ sales returns and
allowances were $ and the cost of merchandise sold was $
a What was the amount of net sales?
b What was the amount of gross profit?
a
amount of net sales
b
amount of gross profit
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