Nu Company reported the following pretax data for its first year of operations. Net sales Cost of goods available for sale Operating expenses Effective tax rate 2,890 2,430 860 20% Ending inventories: If LIFO is elected If FIFO is elected 1,010 1, 090 What is Nu's gross profit ratio if it elects LIFO? (Round your answer to the nearest whole percentage.)

Intermediate Accounting: Reporting And Analysis
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ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
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Chapter5: The Income Statement And The Statement Of Cash Flows
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Nu Company reported the following pretax data for its first year of operations.
Net sales
Cost of goods available for sale
Operating expenses
Effective tax rate
Ending inventories:
If LIFO is elected
If FIFO is elected
2,890
2,430
860
20%
1,010
1,090
What is Nu's gross profit ratio if it elects LIFO? (Round your answer to the nearest whole percentage.)
Multiple Choice
19%.
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Transcribed Image Text:Nu Company reported the following pretax data for its first year of operations. Net sales Cost of goods available for sale Operating expenses Effective tax rate Ending inventories: If LIFO is elected If FIFO is elected 2,890 2,430 860 20% 1,010 1,090 What is Nu's gross profit ratio if it elects LIFO? (Round your answer to the nearest whole percentage.) Multiple Choice 19%. < Prev 11 of 15 Next>
Multiple Choice
19%.
59%.
51%.
54%.
Transcribed Image Text:Multiple Choice 19%. 59%. 51%. 54%.
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