Question: Apple incurred an additional $3,500 in research and development expense paid for in cash. What would be the effect on the net profit margin ratio?

Apple incurred an additional $3,500 in research and development expense paid for in cash. What would be the effect on the net profit margin ratio? Net income was $65,000 and sales was $425,000 before the transaction. Journalize the transaction and calculate the net profit margin before the transaction and the net profit margin after the transaction.

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