2003 Sales $121,761 Cost of Goods Sold 71,583 Other operating costs 37,408 Incom
ID: 2458007 • Letter: 2
Question
2003
Sales
$121,761
Cost of Goods Sold
71,583
Other operating costs
37,408
Income before income tax expense
12,770
Income tax expense
5,344
Other expense
196
Net income
$7,230
2003 Avergage Net Fixed Assets = $44,300
From the information from above, calculate the followingfinancial ratios
18. Calculate Gross Profit Percentage.
19. Calculate Net Profit Margin.
20. Calculate Fixed Assets Turnover.
2003
Sales
$121,761
Cost of Goods Sold
71,583
Other operating costs
37,408
Income before income tax expense
12,770
Income tax expense
5,344
Other expense
196
Net income
$7,230
Explanation / Answer
Sales $ 121,761 -cost of goodssold 71,583 Grossprofit 50,178 -other operatingcosts 37,408 Income beforetax 12,770 -otherexpense 196 12,574 -incometax 5344 NetIncome 7,230 18. Gross profit percentage Grossprofit x 100 Sales 50,178 x 100 121,761 = 41.21 % 19. Net profit Margin Netprofit after taxes x 100 Sales = 7,230 x 100 121,761 = 5.94% 20. Fixed assets turnover Netsales Average net fixed assets 121,761 44,300 = 2.75
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.