Kevin and Sarah’s friend Ally wants in on the entrepreneurial action and decides to sell her world famous Mega-Death Choco Cookies at fairs and church carnivals. She has learned the following calculations for gross margins: Gross margin (as a percent) = (Selling price – costs) / Selling price Gross profit in dollars = selling price – costs At the county fair she had the following results: Price for a dozen cookies = $12 Costs for ingredients = $3 Booth and table cloth = $150 Other fixed expenses = $200 In two days, she sold 214 dozen cookies (these are really good cookies) What is Ally’s gross margin for a dozen cookies? Question 15 options: 1) 70% 2) 68% 3) 75% 4) 50% 5) She needs more information to know
Kevin and Sarah’s friend Ally wants in on the entrepreneurial action and decides to sell her world famous Mega-Death Choco Cookies at fairs and church carnivals. She has learned the following calculations for gross margins:
Gross margin (as a percent) = (Selling price – costs) / Selling price
Gross profit in dollars = selling price – costs
At the county fair she had the following results:
Price for a dozen cookies = $12
Costs for ingredients = $3
Booth and table cloth = $150
Other fixed expenses = $200
In two days, she sold 214 dozen cookies (these are really good cookies)
What is Ally’s gross margin for a dozen cookies?
Question 15 options:
1)
70%
2)
68%
3)
75%
4)
50%
5)
She needs more information to know
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