Question: During the current year, merchandise is sold for $795,000. The cost of the merchandise sold is $477,000. a. What is the amount of the

During the current year, merchandise is sold for $795,000. The cost of the merchandise sold is $477,000. a.

During the current year, merchandise is sold for $795,000. The cost of the merchandise sold is $477,000. a. What is the amount of the gross profit? b. Compute the gross profit percentage (gross profit divided by sales). c. Will the income statement necessarily report a net income? Explain.

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Journal Entry POST ITEM ACCOUNTS AND EXPLANATIONS REF DEBIT CREDIT Jun 30 a Cash 152000 Accounts receivable 152000 b Marketing and general expenses 28000 Cash 28000 c Accounts payable 36000 Cash 36000 ... View full answer

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