Jim's Computer Warehouse produced net income of $150,000 and cost of goods sold of $400,000 for the

Question:

Jim's Computer Warehouse produced net income of $150,000 and cost of goods sold of $400,000 for the year. Net sales were $980,000.
Required
Calculate Jim's profit margin for the year and briefly explain the result. Round percentages to one decimal point (i.e., 12.8%).