The comparative financial statements of B.Darin include the following data:

-Use the information above to answer the following question.The gross profit percentage for the current year is closest to:
A) 42%.
B) 13.5%.
C) 57.7%.
D) 21.15%.

Question

The comparative financial statements of B.Darin include the following data:
 
-Use the information above to answer the following question.The gross profit percentage for the current year is closest to:
A) 42%. 
B) 13.5%. 
C) 57.7%. 
D) 21.15%.

Quizplus · Accepted Answer

Gross Profit Percentage = (Gross Profit / Net Sales) x 100
For the current year, the gross profit is $540,000 and the net sales are $935,000. 
Therefore, Gross Profit Percentage = (540,000 / 935,000) x 100 = 57.78% (rounded to the nearest tenth). 
Hence, the closest answer option is (C) 57.7%.

The Comparative Financial Statements of B