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3 years ago

Using the following information, what is the amount of gross profit?

Business

1 answer:

SIZIF [17.4K]3 years ago

3 0

Answer:

Gross profit= $54,700

Explanation:

Giving the following information:

Purchases $37,000

Merchandise inventory, September 1 6,100

Merchandise inventory, September 30 6,800

Sales 91,000

<u>First, we need to calculate the cost of goods sold:</u>

COGS= beginning finished inventory + cost of goods purchased - ending finished inventory

COGS= 6,100 + 37,000 - 6,800

COGS= $36,300

<u>Now, the gross profit:</u>

Gross profit= sales - COGS

Gross profit= 91,000 - 36,300

Gross profit= $54,700

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Mr. Porter sells 10 bottles of champagne per week at $50 per bottle. He can sell 11 bottles per week if he lowers the price to $

Anuta_ua [19.1K]

Answer:

$45; $50

Explanation:

Given that,

Quantity sold (at price = $50 per bottle) = 10 bottles of champagne

Quantity sold (at price = $45 per bottle) = 11 bottles of champagne

Therefore,

Quantity effect (keeping the price unchanged):

= (11 - 10) × $45

= $45

Price effect (keeping the quantity unchanged):

= ($45 - $50) × 10

= - $50

Hence, total revenue experiences an increase of $45 and a decrease of $50.

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3 years ago

Syntel is a software development company that originated in Michigan. The company once employed 6,500 workers in the U.S. In Aug

Free_Kalibri [48]

Answer:

outsourcing

Explanation:

Outsourcing is the agreement between two companies where one company hired the other company for producing some specialized services it could be service agencies, agency partners, etc in order to save the cost and the time for a company

Since in the question the company hired an indian company for taking charge in the production area so this represent that the company is engaged in outsourcing

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3 years ago

Revenue and expense data for Young Technologies Inc. are as follows:

fenix001 [56]

Answer:

Young Technologies Inc.

a. Income Statement

Year 2 % Year 1 %

Sales $500,000 100% $440,000 100%

Cost of goods sold 325,000 65% 242,000 55%

Gross profit $175,000 35% $198,000 45%

Selling expense 70,000 14% 79,200 18%

Administrative expenses 75,000 15% 70,400 16%

Income before tax $30,000 6% 48,400 11%

Income tax expense 10,500 2% 16,400 4%

Net income $19,500 4% 32,000 7%

b. The cost of goods sold for Young Technologies Inc. increased by 10 percentage points whereas the gross profit declined 10 percentage points in year 2. Income before tax in year 2 declined 5 percentage points from the year 1 pre-tax income. Also, there was a decline in the net income in year 2 of about 3 percentage points when compared to year 1's.

Explanation:

a) Data and Calculations:

Year 2 Year 1

Sales $500,000 $440,000

Cost of goods sold 325,000 242,000

Selling expense 70,000 79,200

Administrative expenses 75,000 70,400

Income tax expense 10,500 16,400

7 0

3 years ago

The simple interest earned on a certain amount is double the amount when invested for 10 years. What is the interest rate being

asambeis [7]

Answer: 10%

Explanation:

The formula to calculate the simple interest (I) is given by :-

$I=Prt---------(1)$

Final amount : $A=P+I---------(2)$

Given : The simple interest earned on a certain amount is double the amount when invested for 10 years.

i.e A = 2P

Put this in equation (2), we get

$2P=P+I\\\\\Rightarrow\ I=P$

Put the value of I in (1), we get

$P=Prt\\\\\Rightarrow\ rt=1$

Since t=10 years {given} , then

$r(10)=1\\\\\Rightarrow\ r=\dfrac{1}{10}=0.1$

In percent , $r=0.1\times10=10\%$

Hence, the interest rate is being offered = 10%

3 0

3 years ago

On October 1, Robertson Company sold inventory in the amount of $5,800 to Alberta, Inc. with credit terms of 2/10, n/30. The cos

NeTakaya

Answer:

Option (d) is correct.

Explanation:

Given that,

Inventory sold to Alberta, Inc. on account = $5,800

Cost of goods sold = $4,000

The journal entries are as follows:

(i) On October 1,

Accounts receivable A/c Dr. $5,800

To sales A/c $5,800

(To record the credit sale of inventory)

(ii) On October 1,

Cost of goods sold A/c Dr. $4,000

To Merchandise inventory A/c $4,000

(To record the cost of goods sold)

4 0

3 years ago

Using the following information, what is the amount of gross profit?​

Using the following information, what is the amount of gross profit?