If the sales this year amounted to P500,000, sales this year at last year's prices is P460,000, the cost of sales this year is P300,000, and the cost of sales this year at last year's price is P260,000. How much is the gross profit variation due to the sales price factor?

If the sales this year amounted to P500,000, sales this year at last year's prices is P460,000, the cost of sales this year is P300,000, and the cost of sales this year at last year's price is P260,000. How much is the gross profit variation due to the sales price factor?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: An analysis of the income statement of MERDEKA Corporation showed the following data on December 31,…

A: Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: what were JT’s annual sales and DSO?

A: current ratio = current asset/current liability 1.8=67500/current liabilities current liabilities =…

Q: Provided the following information: Sales =$1,440,000, Cost of Goods Sold= $1,100,000,…

Q: The sales and profit during the years were as follows : Profit Year Sales 2010 2,40,000 30,000 2011…

A: The solution is given below

Q: Calculate the cost of sales given the following: Net Sales - RM36,400, Gross Profit - RM12,600, Net…

A: In the above question we have asked to select correct answer from the given options which are as…

Q: Your pro forma income statement shows sales of $982,000, cost of goods sold as $482,000,…

A: Earnings before interest and taxes: Earnings before interest, depreciation and taxes are the…

Q: Ash Company reported sales of $440,000 for Year 1, $490,000 for Year 2, and $540,000 for Year 3.…

A: Trend percent = Current Years Sales/Previous Year Sales x 100

Q: WW Co has a current ratio of 2. Receivables are $3 million and current liabilities are $2 million.…

A: We have the following information: Current Ratio: 2 Receivables: $3,000,000 Current Liabilities:…

Q: Rappaport Corp.'s sales last year were $375,000, and its net income after taxes was $23,000. What…

A: Profit margin on sales is ratio of net profit on sales that is as follows: As per formula Profit…

Q: From last year to this year, Berry Barn reported that itsNet Sales increased from $300,000 to…

A: Gross profit rate = ( Gross profit / sales ) x 100

Q: Tulip Company provided the following information for the current year: Sales 9,500,000 250,000…

A: Income statement: Income statement determines the net income of the business by subtracting the…

Q: Local Co. has sales of $10.7 million and cost of sales of $6.4 million. Its selling, general and…

A: Answer- First three subparts solved. Part a) Calculation of Gross Margin - GIven, Sales = $10.70…

Q: What is the inventory period for a firm with an annual cost of goods sold of P5 million, P1.2…

A: The inventory turnover ratio is a financial ratio that defines the number of times within which…

Q: If the sales this year amounted to P500,000, sales this year at last year's prices is P460,000. The…

A: In this problem we have to find profit in both conditions previous years prices and current year…

Q: If the gross profit margin is 20% and the cost of goods sold is $120,000, what is the amount of…

A: Gross profit is the profit which a business has earned when the cost of goods sold is deducted from…

Q: What will be the effect of the following on Trade Receivable Turnover Ratio (DTR) and Inventory…

A: In the problem we will calculate the inventory Turnover Ratio form the given information in the…

Q: If the annual cost of goods sold is $30,000,000 and the average inventory is$5,000,000,a. What is…

A: Inventory turnover ratio is the ratio which measures the number of times inventory is consumed or…

Q: the gross profit ( 2250 000 )$ , and the sales value ( 8550 000 )$ . Total cost ?

A: The financial position of the company can be arrived from the income statement prepared by the…

Q: Wall Mart Pictures and Decor Company has a net profit margin of 10% and its inventory turnover is 9.…

A: Given, Inventory Turnover = 9 Average Inventory = $96,700

Q: b) If the selling price increases by 10% calculate the increase in the net profit at the whole…

A: The Question is related to Marginal costing and it will be solved accordingly.

Q: Rappaport Corp.s sales last year were $320,000, and its net income after taxes was $23,000. What was…

A: Profit Margin on Sales = Net Income after taxes / Sales

Q: The sales and profit for two years were as below: (IN OMR) Sales Profit 2019 30000 10000 2020 20000…

A: The profit depends on the sales, it means higher the sales amount higher will be the profit and…

Q: If the sales this year amounted to P276,000, sales this year at last year’s price is P230,000, the…

A: Variance:- When there is a difference in the budgeted amount and what actually produces or occur is…

Q: . If net sales amounted to P200,000, net income before tax is P80,000 and the income tax rate is…

A: Profit margin ratio is the profitability ratio which shows ratio of net income with net sales in the…

Q: A company has $20 million in cost of goods sold and an inventoryturnover ratio of 2.0. If it can…

A: The question is based on the concept calculation of inventory turnover ratio. Formula as,

Q: Which of the following statements is correct?

A: Cost of Goods Sold: It refers to the cost of production of the goods sold by the company. Such…

Q: A company has P20 million in sales and an inventory turnover ratio of 2.0. If it can reduce it's…

Q: 7. If net sales amounted to P200,000, net income before tax is P80,000 and the income tax rate is…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Pharoah Corp. has annual sales totaling $1218000 and an average gross profit of 20% of cost. What is…

A: Sales revenue: It is the revenue earned by a business on selling the goods or providing services to…

Q: How many units would NUBD Company need to sell to earn a profit after taxes of P15,000?

A: Net profit means the difference between the income and expenses.Net profit after taxes means the…

Q: During year 1, the sales and Cost of goods sold were GHS 6,00,000 and GHS 4,30,000 respectively.…

A: The ratio between the cost of goods sold to net sales is cost of goods sold margin. COGS margin =…

Q: The annual sales of a company are $235,000 including sales tax at 17.5%. Half of the sales are on…

A: We have the following information: Annual Sales: $235,000 Annual sales includes a sales tax of…

Q: How much is the gross profit variation due to sales quantity factor?

A: Gross profit variation: The gross profit variation is the variation or difference between the…

Q: Blossom Corp. has annual sales totaling $1146000 and an average gross profit of 20% of cost. What is…

A: Gross profit = Sales - Cost Gross profit = Sales x Gross profit (%) So, Sales = Gross profit +…

Q: to P276,000, sales this year at last year's prices is P230,000, the cost of sales this year is…

A: Variance : When there is a difference in the budgeted amount and what actually produces or occur is…

Q: Local Co. has sales of $10.9 million and cost of sales of $5.9 million. Its selling, general and…

A: Prepare the income statement by the given information as per the following matrix: The gross profit…

Q: The gross of MARIGOLD Trading for the first quarter of the year amounted to P8, 284,000 and the…

A: The net sales of the company is calculated by deducting the sales return and allowance from the…

Q: alculate Average Payables Periods For the first year, Hawkeye, Inc., has a cost goods sold of…

A: Cost of goods sold = $95318 Accounts payable balance = $22816

Q: If the sales this year amounted to P276,000, sales this year at last year's prices is P230,000, the…

A: Variance:- When there is a difference in the budgeted amount and what actually produces or occur is…

Q: Required Determine the following (show key computations): a. The present sales volume in dollars. b.…

A: Solution: Break even Point is the point where company is at zero profit i.e., No loss-No profit…

Q: Net margin is 30% of the gross sales of 150,000. With Cost of Goods Sold amounting to 50,000, what…

A: Net margin = 30% Gross sales = 150000 COGS = 50000

Q: 4) Big Foot recorded a gross margin of 55% in last year. If cash discounts of the store were 2%…

A: Calculating the initial markup is taking the original retail price minus cost dividend by original…

Q: The table below gives the annual sales (in millions of dollars per year) of a product. 198 1999 2000…

A: average rate of change=sx2-sx1x2-x1=y2-y1x2-x1 where, x1, x2= x coordinatesy1, y2= y coordinates

Q: Use the following information to determine the Prior Year and Current Year trend percents for net…

A: Trend Percent for Net Sales: Choose Numerator: / Choose Denominator: / = Trend…

Q: National Co. has the following information for the period: Profit margin before tax based on sales…

A: Contribution margin is the portion of sales revenue left after paying the variable costs. Therefore,…

Q: Williams & Sons last year reported sales of $127 million, cost of goods sold (COGS) of $105 and an…

A: Given information: Sales reported of $127 million, COGS is $105 million, Inventory turnover ratio is…

Q: calculate the percentage increase or decrease in cost of sales from year 1 to year 2? Year 2:…

A: Percentage increase in cost of sales = ( Cost of sales of year 2 - Cost of sales of year 1 ) / Cost…

Q: Rappaport Corp.&#39;s sales last year were $320,000, and its net income after taxes was $23,000.…

A: PROFIT MARGIN=NET INCOME AFTER TAXSALES

Q: If sales is $100,000 and the gross profit markup is 25%, what is the amount for gross profit?…

A: INTRODUCTION: Gross profit is calculated by subtracting net sales from the cost of things sold. It…

Question

100%

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 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

If the sales this year amounted to P276,000, sales this year at last year’s price is P230,000, the cost of sales this year is P190,000, and the cost of sales this year at last year’s price is P180,000. How much is the gross profit variation due to sales quantity factor?
If the sales this year amounted to P500,000, sales this year at last year's prices is P460,000, the cost of sales this year is P300,000, and the cost of sales this year at last year's price is P260,000. How much is the gross profit variation due to sales price factor? Kindly show the solution.
If the sales this year amounted to P276,000, sales this year at last year’s price is P230,000, the cost of sales this year is P190,000, and the cost of sales this year at last year’s price is P180,000. How much is the gross profit variation due to sales quantity factor? a. P0 b. P40,000 U c. P40,000 F d. P240,000 F e. can't be determined
May I ask for a solution and explanation to the problem for a better understanding. Thank you! If the sales this year amounted to P276,000, sales this year at last year’s price is P230,000, the cost of sales this year is P190,000, and the cost of sales this year at last year’s price is P180,000. How much is the gross profit variation due to sales quantity factor? a. P0 b. P40,000 U c. P40,000 F d. P240,000 F e. can't be determined
Hi! I would like to know if how to solve this one. Help me please, thanks! If the sales this year amounted to P276,000, sales this year at last year's prices is P230,000, the cost of sales this year is P190,000, and the cost of sales this year at last year's price is P180,000. How much is the gross profit variation due to sales quantity factor?
Smith Corporation had Sales of $2,350,000 in 2021 and $2,125,000 in 2020. Cost of Good Sold were $1,400,000 in 2021 and $1,325,000 in 2020. a. What was the percentage change in Sales year to year? b. What was the percentage change in Cost of Goods Sold year to year? c. Relative to the percentage in Sales, would you say the percentage change on Cost of Goods Sold was favorable or unfavorable? d. Is this an example of horizontal or vertical analysis?
May I ask for an explanation and solution to the question for a better understanding. Thank you! 1.If the sales this year amounted to P500,000, sales this year at last year’s prices is P460,000. The cost of sales this year is P300,000, and the cost of sales this year at last year’s price is P260,000. How much is the gross profit variation due to sales price factor? a. P0 b. P400,000 U c. P40,000 F d. P240,000 F e. can't be determined
May I ask for an explanation and solution to the question for a better understanding. Thank you! 2. If the sales this year amounted to P276,000, sales this year at last year’s price is P230,000, the cost of sales this year is P190,000, and the cost of sales this year at last year’s price is P180,000. How much is the gross profit variation due to sales quantity factor? a. P0 b. P40,000 U c. P40,000 F d. P240,000 F e. can't be determined
Your company has sales of $97,200 this year and cost of goods sold of $71,200. You forecast sales to increase to $113,100 next year. Using the percent of sales method, forecast next year's cost of goods sold.
During year 1, the sales and Cost of goods sold were GHS 6,00,000 and GHS 4,30,000 respectively. Next year, the sales are expected to increase by 10%. The Cost of goods sold for next year would be
Blossom Corp. has annual sales totaling $1146000 and an average gross profit of 20% of cost. What is the dollar amount of the gross profit? $286500. $171900. $229200. $191000.
If the operating expenses of the company amounted to P50,000, gross sales amounted to P420,000, and sales discounts amounted to P20,000, how much is the operating expenses to sales ratio?