Kolby Enterprises reports the following information on its income statement:

Required 

Calculate Kolby's gross profit percentage and return on sales ratio. Explain what each ratio tells us about Kolby's performance. Kolby is planning to add a new product and expects net sales to be \(\$ 45,000\) and cost of goods to be \(\$ 38,000\). No other income or expenses are expected to change. How will this affect Kolby's gross profit percentage and return on sales ratio? What do you advise regarding the new product offering?

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Administrative expenses. $10,000 150,000 Other income 15,000 50,000 Other expense 10,000 Net sales... Cost of goods sold. Selling expenses $250,000