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Delvig [45]
3 years ago
15

A company has the following account balances: Sales revenue $2,000,000: Sales Returns and Allowances $250,000: Sales Discounts $

50,000: and Cost of Goods Sold $1,275,000. How much is the gross profit rate?
Business
1 answer:
Naily [24]3 years ago
6 0

Answer:

0.25 or 25%

Explanation:

The computation of the gross profit rate is shown below:

Gross profit rate = Gross profit ÷ Net sales revenue

where,

Net sales revenue = Sales revenue - Sales Returns and Allowances - Sales Discounts

= $2,000,000 - $250,000 - $50,000

= $1,700,000

And, the Cost of goods sold is $1,275,000

So, the gross profit is

= $1,700,000 - $1,275,000

= $425,000

So, the gross profit rate is

= $425,000 ÷ $1,700,000

= 0.25 or 25%

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During a certain six-year period, the consumer price index (CPI) increased by 50%, but during the next sis-year period, it incre
liberstina [14]

Answer:

D. Deflation

Explanation:

"Consumer Price Index" <em>(CPI)</em> measures the changes in the weighted average of prices of a market basket (consisting of consumer goods and services). It tells the<u> cost of living for every consumer. </u>

"Inflation" refers to the sustained increase of prices of goods and services while "deflation" refers to the sustained decrease of prices of goods and services.

In the situation above, the CPI is considered lower than before, thus <u>deflation</u> must have occurred during the second six-year period. It shows a <u>negative inflation rate.</u>

So, this explains the answer.

7 0
3 years ago
Mandi puts $20 in her savings account. the account pays 3% simple interest. how much interest will she earn in 2 years?
cupoosta [38]
$20x2x3=120    
120/100=$1.20
Interest= $1.20
8 0
3 years ago
Because it quickly reveals a candidate's education and experience record, most recruiters favor a(n) a. online resume b. chronol
Naya [18.7K]

Answer:

b. chronological resume

Explanation:

A chronological resume is a resume in which it displays your work experience from latest to oldest job. Here you display your recent experience and achievements to the oldest so that it quickly reveals by the interviewer.

Hence, the correct option is b.

And all the other options are wrong

hence the same is to be considered

8 0
3 years ago
Hugh is interested in making a lot of money. He is a very good salesperson. People tell him he could sell sand in Saudi Arabia!
Mila [183]

The type of Job that Hugh has to look for should be the one that can pay him by commission.

<h3>What is a commission?</h3>

This is the money that a person is paid after they have brokered a deal. The commission is the money.

This is the service charge that Hugh is going to charge to his clients whenever he helps them.

Read more on a commission here:

brainly.com/question/957886

#SPJ1

8 0
2 years ago
In what circumstances is it most important to use multistage dividend discount models rather than constant-growth models?
patriot [66]

Answer:

when valuing companies with temporarily high growth rates.

Explanation:

Discounted dividend models are methods to assess a company's share price based on the dividends that company will distribute in the future. Also known by its name in English dividend discount model (DDM).

These models are based on the theory that the price of a share must be equal to the price of the dividends that the company will deliver, discounted at its net present value.

If the price of the share in the market is lower than the result obtained by the discounted dividend model, the share is undervalued and therefore it is advisable to buy. If, on the contrary, the market price is higher than the model, it is understood that the share price is too high.

Multistage dividend growth models

It is very difficult for a company to experience the same growth every year as the Gordon model assumes, so multistage models assume different growths for each period.

The most common is to use two or three stage growths, where at first the growths are higher but then tend to stabilize at a smaller constant growth. As for example in early stage companies.

5 0
3 years ago
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