Profitability Analysis

Ashley Enterprises reports the following information on its income statement:

Net sales	$500,000	Administrative expenses	$80,000
Cost of goods sold	300,000	Other income	90,000
Selling expenses	140,000	Other expense 65,000

Calculate Ashley's gross profit percentage and return on sales ratio. Ashley is planning to add a new product and expects net sales to be $30,000 and cost of goods to be $25,000. No other income or expenses are expected to change. How will this affect Ashley's gross profit percentage and return on sales ratio? (Round all answers to 1 decimal place.)

What is the return on sales?

What is the return on sales if new product is made