Sapien Corporation has provided the following data for the most recent year: The company's gross margin percentage is closest to:
A)52.3%
B)1691.2%
C)5.9%
D)34.3%

Question

Sapien Corporation has provided the following data for the most recent year:  The company's gross margin percentage is closest to:
A)52.3% 
B)1691.2% 
C)5.9% 
D)34.3%

Quizplus · Accepted Answer

Gross margin percentage is calculated as (Sales revenue - Cost of goods sold) / Sales revenue. Using the data provided, the calculation yields (150,000 - 98,000) / 150,000 = 0.347, which is closest to 34.3% (choice D).

Sapien Corporation Has Provided the Following Data for the Most