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show: 2020 P1,000,000 2021 Sales P1,237,500 950,000 P 287.000 Cost of sales Gross profit 800,000 P 200,000 The only known factor given to you is the sales price increased 12.5% beginning January 2021.

show: 2020 P1,000,000 2021 Sales P1,237,500 950,000 P 287.000 Cost of sales Gross profit 800,000 P 200,000 The only known factor given to you is the sales price increased 12.5% beginning January 2021.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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100%

The increase in gross profit due to increase in volume is:

P50,000

P35,000

P20,000

None of these

Gross profit declined due to increase in cost in the amount of:

P70,000

P88,000

P97,500

None of these.

The increase in sales price caused an increase in gross profit by:

P100,000

P137,500

P110,000

None of these.

The percent of change in volume is:

12.750%

11.000%

15.125%

None of these

The percent of change in cost is:

10.79%

10.000%

8.67%

None of these

Items 20 through 24 are based on the following: The management of Bataan Corporation asked you to submit an analysis of the increase in their gross profit in 2021 based on their past two-year comparative income statements which show: 2021 2020 Sales P1,237,500 P1,000,000 800,000 P 200,000 Cost of sales 950,000 P 287.000 Gross profit The only known factor given to you is the sales price increased 12.5% beginning January 2021.
Transcribed Image Text:Items 20 through 24 are based on the following: The management of Bataan Corporation asked you to submit an analysis of the increase in their gross profit in 2021 based on their past two-year comparative income statements which show: 2021 2020 Sales P1,237,500 P1,000,000 800,000 P 200,000 Cost of sales 950,000 P 287.000 Gross profit The only known factor given to you is the sales price increased 12.5% beginning January 2021.
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