Answered: Peartree Inc. provides the following…

Peartree Inc. provides the following extracts from income statement for the year 2017 Net sales $570,000 Cost of Goods Sold (220,000) Gross profit $430,000 Calculate the gross profit percentage.

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...

See similar textbooks

Related questions

Q: Ans please

A: Step 1: Definition of Manufacturing OverheadManufacturing overhead refers to the indirect costs…

Q: A percentage of direct labour costs of ...?

A: Explanation of Predetermined Overhead Rate:Predetermined overhead rate (POR) is an estimate…

Q: Please given correct answer general accounting

A: The price-earnings (P/E) ratio is calculated using the formula: P/E Ratio = Share Price / Earnings…

Q: I want to correct answer general accounting

A: To calculate goodwill resulting from the acquisition, we need to follow this formula: Goodwill =…

Q: MCQ

A: **Explanation:** A **Just-in-Time (JIT)** inventory system focuses on reducing inventory levels by…

Q: None

A: To calculate the price-earnings (P/E) ratio, we follow these steps: Step 1: Calculate Net IncomeNet…

Q: What is the cost of equity using SML

A: Cost of Equity Using DDM:Step 1: Use the formula: Re = (D1 / P0) + gStep 2: Calculate D1 = D0 × (1 +…

Q: How much is the labor rate variance? Solve this question general Accounting

A: Step 1: Define Labor Rate VarianceThe labor rate variance arises due to the difference between the…

Q: overhead

A: Calculation of Monthly Direct Cost Monthly Direct Cost = No. of Cycles produced x Direct Cost per…

Q: Financial Accounting please answer

A: Explanation for a: The formula to calculate degree of operating leverage is as follows:Degree of…

Q: Calculate the gross profit percentage.

A: Explanation of Net Sales: Net sales represent the total revenue generated from the sale of goods or…

Q: Provide correct answer this general accounting question

A: To calculate the actual total direct materials cost, we use the following formula: Actual Direct…

Q: None

Q: Question 1. Pearl Leasing Company agrees to lease equipment to Martinez Corporation on January 1,…

A: The value of the lease liability at lease commencement is the present value of the lease payments.…

Q: Provide correct answer general Accounting question

A: Step 1: Define BondA bond is a financial instrument that offers fixed returns to investors. There…

Q: Provide answer general Accounting question

A: Steps to Solve: (a) Calculate the P/E Ratio:1. Use the formula: • P/E = Price per Share ÷ Earnings…

Q: General Accounting Question please answer

A: Step 1: Definition of the High-Low MethodThe high-low method separates fixed and variable costs by…

Q: It's net sales equal general accounting

A: Step 1: Definition of Net SalesNet sales represent the total revenue generated from sales after…

Q: Katherine Brewer is the stockholder and operator of Our Idol LLC, a motivational consulting…

A: To solve the problem, we will use the accounting equation: Assets=Liabilities+Stockholders' Equity…

Q: Please provide solution

A: We have given, Manufacturing cost: Fixed monthly cost = $16,000Variable cost (Per linear) =…

Q: 4 PTS

A: Concept of Product CostsProduct costs are costs directly associated with manufacturing a product.…

Q: Reagan corp

A: Step 1: Formula for Price-Earnings (P/E) RatioThe formula to calculate the P/E Ratio is:P/E…

Q: What is the return on assets ?

A: To calculate the Return on Assets (ROA), we use the formula:ROA=Total AssetsNet IncomeWhere:Net…

Q: General Accounting

A: Step 1: Calculation of total preferred dividendTotal preferred dividend = Number of shares of…

Q: GENERAL ACCOUNT

A: Direct Material Price Variance (DM Price Variance):The direct material price variance measures the…

Q: The following financial information for the year

A: Explanation of Absorption Costing:Absorption costing is a method of inventory costing that includes…

Q: What is its net income?? General accounting

A: Given Data:Sales = $14 millionReturn on Equity (ROE) = 12%Total Asset Turnover = 4 timesCommon…

Q: answer accounting question

A: Step 1: Compute the comparable cost per unit by using the High-Low Cost Method as follows: Variable…

Q: General accounting

A: Step 1: Definition of Lower of Cost or Market (LCM)Lower of Cost or Market (LCM) is an inventory…

Q: General Accounting question

A: Step 1: Define Operating LeverageOperating leverage indicates the percentage change in operating…

Q: Provide answer general accounting

A: Direct MaterialsSeptember: $2,500October: $3,000Total Direct Materials:Direct Materials = 2,500 +…

Q: Answer please

A: To calculate the depreciation expense for 2016 and the net book value of the equipment at December…

Q: Determine the firm fixed cost?

A: Step 1: Meaning of fixed costFixed costs are the expenses that remain constant at different levels…

Q: The company's price earnings ratio equal general accounting

A: Step 1: Definition of Price-Earnings RatioThe price-earnings (P/E) ratio measures the relationship…

Q: What is the setup cost per unit of product A under ABC costing system ?

A: Explanation of Activity-Based Costing (ABC):Activity-Based Costing (ABC) is a method that allocates…

Q: Good Times Restaurant estimates the following costs for next year: fixed costs $120,000, variable…

A: To determine the required number of meals to achieve the desired profit, the contribution margin…

Q: What is hanks realized gain or loss on the sale ??? Please help me this question

A: Step 1: Definition of Realized GainA realized gain is the profit recognized from the sale of an…

Q: Please need answer this general accounting question

A: Step 1: Define Home Sale ExclusionThe Home Sale Exclusion under the Internal Revenue Code allows…

Q: The degree of operating leverage is

A: Concept of Contribution Margin: The contribution margin is the amount remaining from sales revenue…

Q: PLEASE HELP!

A: Transaction 1: February 2Details: Purchased goods for $66,400 with terms 2/10, n/30. Accounts…

Q: Quick answer of this accounting questions

A: Step 1: Definition of Inventory Holding CostsInventory holding costs are the costs associated with…

Q: Financial Accounting Question please answer

A: Step 1: Definition of Dollar ReturnThe dollar return represents the total monetary gain or loss from…

Q: What is the return on total assets ?

A: Explanation of Return on Total Assets (ROA):Return on Total Assets (ROA) is a financial ratio that…

Q: Find out

A: Concept of Investment Property:Investment property refers to land or buildings held by a company to…

Q: Step by step answer

A: The question pertains to a financial liability designated as FVTPL or Fair Value Through Profit or…

Q: Find correct answer

A: Step 1: Definition of Predetermined Overhead RateThe predetermined overhead rate is calculated…

Q: Help

A: The question pertains to master budget. In finance, the master budget is usually created for a…

Q: Ans

A: Step 1: Definition of After-Tax YieldThe after-tax yield is the effective return on an investment…

Q: get correct answer accounting question

A: Step 1: Definition of the High-Low MethodThe high-low method is used to estimate the fixed and…

Q: The record of Marshall company include

A: Explanation of Return on Assets (ROA):Return on Assets (ROA) measures how efficiently a company…

Question

Answer this question ?

Peartree Inc. provides the following extracts
from income statement for the year 2017
Net sales $570,000
Cost of Goods Sold (220,000)
Gross profit $430,000
Calculate the gross profit percentage.

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

The following information is available for Cooke Company for the current year: The gross margin is 40% of net sales. What is the cost of goods available for sale? a. 5840,000 b. 960,000 c. 1,200,000 d. 1,220,000
The following selected information is taken from the financial statements of Arnn Company for its most recent year of operations: During the year, Arnn had net sales of 2.45 million. The cost of goods sold was 1.3 million. Required: Note: Round all answers to two decimal places. 1. Compute the current ratio. 2. Compute the quick or acid-test ratio. 3. Compute the accounts receivable turnover ratio. 4. Compute the accounts receivable turnover in days. 5. Compute the inventory turnover ratio. 6. Compute the inventory turnover in days.
The Cullumber Supply Company reported the following information for 2017. Prepare a common-size income statement for the year ended June 30, 2017. (Round answers to 1 decimal place, e.g. 52.7%.) Cullumber Supply CompanyIncome Statement for the Fiscal Year Ended June 30, 2017($ thousands) % of Net Sales Net sales $2,111,000 enter percentages of net sales % Cost of goods sold 1,464,000 enter percentages of net sales % Selling and administrative expenses 312,200 enter percentages of net sales % Nonrecurring expenses 27,600 enter percentages of net sales % Earnings before interest, taxes, depreciation, and amortization (EBITDA) $307,200 enter percentages of net sales % Depreciation 117,000 enter percentages of net sales % Earnings before interest and taxes (EBIT) 190,200 enter percentages of net sales % Interest expense 118,600 enter percentages of net sales % Earnings before taxes (EBT)…
Danby, Inc. provides the following data from its income statement for 2018: Net Sales $540,000 Cost of Goods Sold (190,000) Gross Profit $350,000 Calculate the gross profit percentage. (Round your answer to two decimal places.)
Coleman, Inc. provides the following data from its Income Statement for 2018: Net Sales $ 560,000.00 Cost of Goods Sold $ (160,000.00) Gross Profit $ 400,000.00 Calculate the gross profit percentage. (round your answer to two decimal places) A 71.43% B 25.00% C 100.00% D 28.57%
Manero Company included the following information in its annual report: 2018 2017 Sales Cost of goods sold Operating expenses Net income $188,400 115,000 50,000 23,400 $162,500 102,500 50,000 10,000 2016 $150,500 100,000 45,000 5,500 In a common size income statement for 2017, the cost of goods sold are expressed as OA. 115.0% OB. 61.0% OC. 100.0% O D. 63.7%
Question: BigBoss Inc. provides the following extracts from income statement for the year 2009: Net sales $500,000, Cost of Goods Sold (150,000), Gross profit $350,000, Calculate the gross profit percentage.
Complete the common-size income statement below: Common-Size Income Statement 2016 Revenues $ 29,970 % Cost of goods sold (20,030) Gross profit $ 9,940 % Operating expenses (8,030) Net operating income $ 1,910 % Interest expense (860) Earnings before taxes $ 1,050 % Income taxes (382) Net income $ 668 %
Mac Donald company reported the following on its comparative income statement: 2017 2018 2019 Revenue 9,000 10,000 14,000 Cost of goods sold 6,000 4,000 9,000 Prepare a horizontal analysis of revenue , cost of goods sold and gross profit
Please find the following ratios for both year 2017 and year 2018 based on following data RATIO AT ROA L ROE
Concord, Inc. has the following Income Statement (in millions): CONCORD, INC. Income Statement For the Year Ended December 31, 2026 Net Sales $145 Cost of Goods Sold 87 Gross Profit Operating Expenses Net Income 58 O 66.7% 40.0% 100.0% 60.0% 39 $19 Using vertical analysis, what percentage is assigned to gross profit?
Shelcal, Inc. provides the following data for the year 2019: Net Sales Revenue, $437,690; Cost of Goods Sold, $255,000. O The gross profit as a percentage of net sales is (Round your answer to two decimal places.) OA) 37.96% OB) 39.80% OC) 60.20% OD) 40.8%