The following selected accounts are taken from the ledger of ABZ Trading as of December 31, 2023: • Sales P620,000 • Sales discount = 10% . Gross profit P248,000 • Operating expenses = P180,000 • Merchandise inventory, Jan. 1, 2023 = P90,000 • Merchandise inventory, Dec. 31, 2023 = P70,000 • Accounts receivable, Jan. 1 = P80,000 • Accounts receivable, Dec. 31 = P65,000 What is the cost of sales ratio (cost ratio) for ABZ Trading? a. 62% b. 55% c. 60% d. Answer not given

The following selected accounts are taken from the ledger of ABZ Trading as of December 31, 2023: • Sales P620,000 • Sales discount = 10% . Gross profit P248,000 • Operating expenses = P180,000 • Merchandise inventory, Jan. 1, 2023 = P90,000 • Merchandise inventory, Dec. 31, 2023 = P70,000 • Accounts receivable, Jan. 1 = P80,000 • Accounts receivable, Dec. 31 = P65,000 What is the cost of sales ratio (cost ratio) for ABZ Trading? a. 62% b. 55% c. 60% d. Answer not given

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 56P: The following selected information is taken from the financial statements of Arnn Company for its...

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