Problem 1:True or false 1. If sales are P200,000 and cost of goods sold is P 150,000, the gross profit rate based on cost is 25%. 2. If the gross profit rate based on sales is 40%, the gross profit rate based on cost is 50%. 3. If the gross profit based on cost is 33.33%, the gross profit rate based on sales is 25%.
Problem 1:True or false
1. If sales are P200,000 and cost of goods sold is P 150,000, the gross profit rate based on cost is 25%.
2. If the gross profit rate based on sales is 40%, the gross profit rate based on cost is 50%.
3. If the gross profit based on cost is 33.33%, the gross profit rate based on sales is 25%.
4. Beginning inventory is P10, net purchases are P140 and net sales are P120. If the gross profit rate based on cost is 20%, the ending inventory is P30.
5. During the year, an entity had net purchases of P100. If inventories had a net decrease of P20 during the year, the cost of goods sold is P120.
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During the year, an entity had net purchases of P100. If inventories had a net decrease of P20 during the year, the cost of goods sold is P120.
by Bartleby ExpertBeginning inventory is P10, net purchases are P140 and net sales are P120. If the gross profit rate based on cost is 20%, the ending inventory is P30.
by Bartleby Expert
