Question

Seaview Company took the following data from their income statement at the end of the current year.Per-unit product cost:$30Gross margin percentage:40%Selling and administrative expenses$30,000Operating income$10,000hat was gross margin for the year?

Answer 1

Answer:

Gross margin= $40,000

Explanation:

Giving the following information:

Per-unit product cost: $30

Gross margin percentage:40%

Selling and administrative expenses $30,000

Operating income$10,000

We know that:

operating income= gross margin- selling and administrative income

10000= gross margin- 30000

40000= gross margin