Profitability Analysis Erin Enterprises reports the following information on its year-end income statement: Net Sales $200,000 Operating Expenses $40,000 Cost of Goods Sold 110,000 Other Income 25,000 Required Calculate Erin’s gross profit percentage and return on sales ratio. (Round answer to one decimal place.) Gross profit percentage = Answer Return on sales ratio = Answer
Profitability Analysis Erin Enterprises reports the following information on its year-end income statement: Net Sales $200,000 Operating Expenses $40,000 Cost of Goods Sold 110,000 Other Income 25,000 Required Calculate Erin’s gross profit percentage and return on sales ratio. (Round answer to one decimal place.) Gross profit percentage = Answer Return on sales ratio = Answer
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 38E: Sundahl Companys income statements for the past 2 years are as follows: Refer to the information for...
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Profitability Analysis
Erin Enterprises reports the following information on its year-end income statement:
| Net Sales | $200,000 | Operating Expenses | $40,000 |
| Cost of Goods Sold | 110,000 | Other Income | 25,000 |
Required
Calculate Erin’s gross profit percentage and return on sales ratio.
(Round answer to one decimal place.)
| Gross profit percentage = | Answer
|
| Return on sales ratio = | Answer
|
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