A 35 percent gross margin indicates that on each $100 in sales the retailer has a gross margin of $65.

Name: A 35 percent gross margin indicates that on each $100 in sales the retailer has a gross margin of $65.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A 35 percent gross margin means that the retailer's cost of goods sold is 65 percent of the selling price. So, on each $100 in sales, the retailer's cost of goods sold would be $65 and their gross margin would be $35. Therefore, the statement in the question is false.

A 35 Percent Gross Margin Indicates That on Each $100