Year 2 Year 1 sales 170,000 130,000 cost of sales 135,000 105,000 gross profit 35,000 25,000 3. Using the above information, calculate the percentage increase or decrease in cost of sales from Year 1 to Year 2? a. Increase of 2.1% b. Decrease of 1.4% c. Increase of 1.4% d. Decrease of 2.1%
Year 2 Year 1 sales 170,000 130,000 cost of sales 135,000 105,000 gross profit 35,000 25,000 3. Using the above information, calculate the percentage increase or decrease in cost of sales from Year 1 to Year 2? a. Increase of 2.1% b. Decrease of 1.4% c. Increase of 1.4% d. Decrease of 2.1%
Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter5: Inventories And Cost Of Goods Sold
Section: Chapter Questions
Problem 5.9E: Working Backward: Gross Profit Ratio Acmes gross profit ratio increased by 20% over the prior year....
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Question
Year 2 | Year 1 | |
sales | 170,000 | 130,000 |
cost of sales | 135,000 | 105,000 |
gross profit | 35,000 | 25,000 |
3. Using the above information, calculate the percentage increase or decrease in cost of sales
from Year 1 to Year 2?
a. Increase of 2.1%
b. Decrease of 1.4%
c. Increase of 1.4%
d. Decrease of 2.1%
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