2. Below is a partially completed 1st quarter income statement of Lopez Hardware. Find:

Net Sales

Goods Available for Sale

Cost of Goods Sold

Gross Profit on Sales

Total Operating Expense

Net Income

LOPEZ HARDWARE

INCOME STATEMENT

FOR THE MONTH OF DECEMBER

Revenue

Sales 526,789

Less: Sales Returns and Allowances 21,450

Net Sales a._______________

Less: Cost of Goods Sold

Beginning Inventory 54,579

Add: Purchases 267,670

Goods Available for Sale b._______________

Less: Ending Inventory 48,920

Cost of Goods Sold c.______________

Gross Profit on Sales d. _____________

Less: Operating Expenses

Salaries and Wages 45,620

Mortgage Interest 12,536

Taxes 12,734

Utilities 8,850

Advertisement 8,976

Depreciation of Store Equipment 8,543

Insurance 33,005

Other expenses 7,345

Total Operating Expenses e._______________

NET INCOME or LOSS f._______________

3. Refer to number 2,

By completing the table below, find what percent of each item in the statement is of the net sales. SECTION AMOUNT PERCENT

Net Sales

Cost of Goods Sold

Gross Profit on Sales

As percent of net sales, what was the gross profit margin of Lopez Hardware?

Find the net profit margin.