Accounting: Tools for Business Decision Making, 5th Edition

Published by Wiley
ISBN 10: 1118128168
ISBN 13: 978-1-11812-816-9

Chapter 5 - Merchandising Operations and the Multiple-Step Income Statement - Self-Test Questions - Page 258: 7

Answer

b

Work Step by Step

Gross profit is net sales minus the cost of goods sold. Therefore, we can conclude: $gp=400000-310000=90000$
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