Answered: Mega Skateboard Supplier had net sales…

Mega Skateboard Supplier had net sales of $3.9 million, its cost of goods sold was $1.5 million, and its net income was $0.6 million. Calculate the gross margin ratio.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 2MC: The following information is available for Cooke Company for the current year: The gross margin is...

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Question

Calculate the gross margin ratio

Mega Skateboard Supplier had net sales of $3.9
million, its cost of goods sold was $1.5 million, and
its net income was $0.6 million. Calculate the gross
margin ratio.

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