From 2009 to 2010, Shamwow reported that its Net Sales increased from ($ 300,000) to ($ 400,000),

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From 2009 to 2010, Shamwow reported that its Net Sales increased from \(\$ 300,000\) to \(\$ 400,000\), and its Gross Profit increased from \(\$ 90,000\) to \(\$ 130,000\). Was the Gross Profit increase caused by \((a)\) an increase in sales volume only, (b) an increase in gross profit per sale only, or (c) a combination of both? Explain your answer.

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Fundamentals Of Financial Accounting

ISBN: 9780073527109

3rd Edition

Authors: Fred Phillips, Robert Libby, Patricia A Libby

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