Fortune Brands Home & Security, Inc., sells Master Lock padlocks. It reported an increase in net sales from $ 3.3 billion in 2011 to $ 3.6 billion in 2012, and an increase in gross profit from $ 1.0 billion in 2011 to $ 1.2 billion in 2012. Based on these numbers, determine whether the change in gross profit was caused by an increase in gross profit per sale, an increase in sales volume, or a combination of the two.
Answer to relevant QuestionsIf net sales are $ 300,000, cost of goods available for sale is $ 280,000, and gross profit percentage is 35%, what is the amount of ending inventory? Using the information in M6-5, prepare journal entries to record the inventory transactions, assuming Anderson’s uses a perpetual inventory system. Info M6-5 Assume Anderson’s General Store bought, on credit, a truckload ...During the months of January and February, Solitare Corporation sold goods to three customers. The sequence of events was as follows: Jan. 6 Sold goods for $ 100 to Wizard Inc. with terms 2/10, n/30. The goods cost Solitare ...The Gap, Inc., is a specialty retailer that operates stores selling clothes under the trade names Gap, Banana Republic, and Old Navy. Assume that you are employed as a stock analyst and your boss has just completed a review ...During the months of January and February, Axe Corporation purchased goods from three sup-pliers. The sequence of events was as follows: Jan. 6 Purchased goods for $ 1,200 from Green with terms 2/10, n/30. 6 Purchased goods ...
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