Question
Wildhorse Department Store is located in midtown Metropolis. During the past several years, net income has been declining because suburban shopping centers have been attracting
Wildhorse Department Store is located in midtown Metropolis. During the past several years, net income has been declining because suburban shopping centers have been attracting business away from city areas. At the end of the companys fiscal year on November 30, 2025, these accounts appeared in its adjusted trial balance.
Accounts Payable | $ 39,400 | |
Accounts Receivable | 25,600 | |
Accumulated DepreciationEquipment | 102,000 | |
Cash | 12,000 | |
Common Stock | 52,500 | |
Cost of Goods Sold | 928,200 | |
Freight-Out | 9,730 | |
Equipment | 238,590 | |
Depreciation Expense | 20,700 | |
Dividends | 18,000 | |
Gain on Disposal of Plant Assets | 3,000 | |
Income Tax Expense | 15,000 | |
Insurance Expense | 13,500 | |
Interest Expense | 7,500 | |
Inventory | 39,100 | |
Notes Payable | 65,250 | |
Prepaid Insurance | 9,000 | |
Advertising Expense | 50,250 | |
Rent Expense | 51,000 | |
Retained Earnings | 34,360 | |
Salaries and Wages Expense | 178,040 | |
Salaries and Wages Payable | 9,000 | |
Sales Returns and Allowances | 30,000 | |
Sales Revenue | 1,356,000 | |
Utilities Expense | 15,300 |
Additional data: Notes payable are due in 2029.
Wildhorse Department Store is located in midtown Metropolis. During the past several years, net income has been declining because suburban shopping centers have been attracting business away from city areas. At the end of the companys fiscal year on November 30, 2025, these accounts appeared in its adjusted trial balance.
Accounts Payable | $ 39,400 | |
Accounts Receivable | 25,600 | |
Accumulated DepreciationEquipment | 102,000 | |
Cash | 12,000 | |
Common Stock | 52,500 | |
Cost of Goods Sold | 928,200 | |
Freight-Out | 9,730 | |
Equipment | 238,590 | |
Depreciation Expense | 20,700 | |
Dividends | 18,000 | |
Gain on Disposal of Plant Assets | 3,000 | |
Income Tax Expense | 15,000 | |
Insurance Expense | 13,500 | |
Interest Expense | 7,500 | |
Inventory | 39,100 | |
Notes Payable | 65,250 | |
Prepaid Insurance | 9,000 | |
Advertising Expense | 50,250 | |
Rent Expense | 51,000 | |
Retained Earnings | 34,360 | |
Salaries and Wages Expense | 178,040 | |
Salaries and Wages Payable | 9,000 | |
Sales Returns and Allowances | 30,000 | |
Sales Revenue | 1,356,000 | |
Utilities Expense | 15,300 |
Additional data: Notes payable are due in 2029.
(b) Calculate the profit margin and the gross profit rate. (Round answers to 1 decimal place, e.g. 15.2\%) Profit margin % Gross profit rate % eTextbook and Media List of Accounts Attempts: 0 of 3 usedStep by Step Solution
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