Wolverine World Wide, Inc.

E$6-18$ Analyzing Gross Profit Percentage on the Basis of an Income Statement

Wolverine World Wide, Inc., prides itself as being the "world's leading marketer of U$.$S$.$ branded non$-$athletic footwear." The following data $($in millions$)$ were reported for the second quarter of $2019$ :

Net Sales

Income Tax Expense

Dividends

Salaries and Wages Expense

Cost of Goods Sold

Interest Expense

$$570$

$10$

$9$

$170$

$345$

$5$

Required:

Based on these data, prepare a multistep income statement.

How much was the gross profit in dollars? What was the gross profit percentage? $($Round to one decimal place.$)$ Explain what these two amounts mean.

Did the grass profit percentage in the current quarter improve, or decline, relative to the $42\mathrm{.}1$ percent gross profit percentage in the prior quarter?