Owen Wise, Inc. reported the following in its 2017 and 2016 income statements. Determine the company's gross

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Owen Wise, Inc. reported the following in its 2017 and 2016 income statements.

Determine the company's gross profit rate and profit margin for both years. Discuss the cause for changes in the ratios.

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Related Book For answer-question

Accounting Tools for Business Decision Making

ISBN: 978-1118096895

6th edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

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Question Posted: Aug 24, 2016 01:46 AM

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Owen Wise, Inc. reported the following in its 2017 and 2016 income statements. Determine the company's gross

Question:

2017 2016 . Net sales Cost of goods sold Operating expenses Income tax expense Net income $150,000 90,000 32,000 18,000 $120,000 72,000 16,000 10,000 s22,000 $10000 $22.000

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The companys gross profit rate remained constant however its profit ma...View the full answer

Accounting Tools for Business Decision Making

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