Caterpillar Inc. (CAT) produces and sells various types of equipment, including tractors, loaders, and mining equipment. The

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Caterpillar Inc. (CAT) produces and sells various types of equipment, including tractors, loaders, and mining equipment. The following data (in millions) were adapted from recent financial statements of Caterpillar.

Year 2 Year 1 Sales $42,676 $35,773 Cost of goods sold Gross profit (31,049) $11,627 (28,309) $ 7,464

1. Compute the gross profit percent for Years 1 and 2. Round to one decimal place.

2. Compute the average markup percent for Years 1 and 2. Round to one decimal place.

3. Compare the results in parts (1) and (2) for Years 1 and 2. Comment on your comparison.

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Survey Of Accounting

ISBN: 9780357132593

9th Edition

Authors: Carl S. Warren, Amanda Farmer

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Question Posted: Sep 25, 2020 06:23 AM

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Caterpillar Inc. (CAT) produces and sells various types of equipment, including tractors, loaders, and mining equipment. The

Question:

Year 2 Year 1 Sales $42,676 $35,773 Cost of goods sold Gross profit (31,049) $11,627 (28,309) $ 7,464

Step by Step Answer:

1 2 3 Caterpillar Incs gross profit percent increased 63 272 ...View the full answer

Survey Of Accounting

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