Patterson Division had sales revenue of $200,000,operating profit of $10,000,and a division investment of $300,000.Its profit margin percentage is
A)66.7%
B)150.0%
C)3.3%
D)5.0%

Question

Quizplus · Accepted Answer

The profit margin percentage is calculated by dividing the operating profit by the sales revenue and then multiplying by 100. So, ($10,000 / $200,000) * 100 = 5.0%.

Patterson Division Had Sales Revenue of $200,000,operating Profit of $10,000,and