The gross profit margin percentage (rounded) was? Questions 5 to 8 are based on the Statement of Income of Davao, Inc. which representsthe operating results for the current fiscal year ending December 31. Davao had sales of1,800 tons of product during the current year. The manufacturing capacity of Davao'sfacilities is 3,000 tons of product. Consider each question's situation separately.Sales P900,000Variable costsManufacturingSelling costs 180,000Total variable costs P495.000Contribution margin P405,000Fixed costsManufacturingSellingAdministrationTotal fixed costsNet income before income taxes P157,500Income taxes (40%)(63.000)Net income after income taxesP315,000P 90,000112,50045,000P247,500P 94,500

Gross profit margin is the difference between Sales Revenue and Cost of Goods sold. Cost of goods…

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The gross profit margin percentage (rounded) was?

FINANCIAL ACCOUNTING

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ISBN:9781259964947

Author:Libby

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Chapter1: Financial Statements And Business Decisions

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