Compute the gross profit rate when sales are $600,000; net sales are $460,000 and gross profits are $120,000. (Round your answer to the nearest whole percent.)
A) 26%
B) 20%
C) 0.26 to 1
D) 0.20 to 1

Question

Quizplus · Accepted Answer

Gross profit rate = Gross profit / Net sales= 120,000 / 460,000= 0.2608695652173913= 26.08695652173913%= 26% (rounded to the nearest whole percent)

Compute the Gross Profit Rate When Sales Are $600,000; Net