Question
The following information was drawn from the annual reports of two companies. Company A Company B Sales revenue $ 1,000 $ 2,000 Cost of goods
The following information was drawn from the annual reports of two companies.
Company A Company B Sales revenue $ 1,000 $ 2,000 Cost of goods sold (600) (1,100) Gross margin 400 900 Operating expenses (220) (700) Operating income 180 200 Gain on sale of equipment 150 0 Net income $ 330 $ 200
Based on this information, Company As gross margin percentage is
60%. 55%. 45%. 40%.
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Financial Accounting Tools For Business Decision-Making
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
2nd Canadian Edition
0470833378, 978-0470833377
