Olivera,Inc.provides the following data for 2017: $$\begin{array} { | l | r | }
\hline \text { Sales Revenue } & \$ 626,000 \
\hline \text { Sales Returns and Allowances } & 21,000 \
\hline \text { Sales Discounts } & \underline { 6,000 } \
\hline \text { Net Sales Revenue } & 599,000 \
\hline \text { Cost of Goods Sold } & 400,000 \
\hline
\end{array}$$ The gross profit as a percentage of net sales is ________.(Round your answer to two decimal places. )

Question

Olivera,Inc.provides the following data for 2017: $$\begin{array} { | l | r | } 
\hline \text { Sales Revenue } & \$ 626,000 \
\hline \text { Sales Returns and Allowances } & 21,000 \
\hline \text { Sales Discounts } & \underline { 6,000 } \
\hline \text { Net Sales Revenue } & 599,000 \
\hline \text { Cost of Goods Sold } & 400,000 \
\hline
\end{array}$$ The gross profit as a percentage of net sales is ________.(Round your answer to two decimal places. )

Quizplus · Accepted Answer

Gross profit is calculated as Net Sales Revenue minus Cost of Goods Sold. The gross profit percentage is then calculated by dividing the gross profit by Net Sales Revenue and multiplying by 100. Here, Gross Profit = $599,000 - $400,000 = $199,000. Gross Profit Percentage = ($199,000 / $599,000) * 100 = 33.22%.

Olivera,Inc The Gross Profit as a Percentage of Net Sales Is