In response to a growing trend of workers eating at their work stations,OfficeEase LLC,an Internet retailer,offers a line of products that can be used to protect office equipment and furniture including a plastic sheath for a computer keyboard and a spill-proof cup.Last year,its net sales were $1,450,000 with cost of goods sold for $353,000.The company's expenses,last year,totaled $960,000.Calculate the company's net profit percentage.

Question

Quizplus · Accepted Answer

Gross Margin = Net Sales - Cost of Goods Sold = $1,450,000 - $353,000 = $1,097,000.Net Profit = Gross Margin - Expenses = $1,097,000 - $960,000 = $137,000.Net Profit Percentage = (Net Profit/Net Sales)* 100 = ($137,000/$1,450,000)* 100 = 9.4 percent.

In Response to a Growing Trend of Workers Eating at Their