Current sales are $12,000 with a gross margin % of 45%. Current net profit margin is 8%.

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Current sales are $12,000 with a gross margin % of 45%.

Current net profit margin is 8%.

Next year sales are expected to increase by 5%.

Next year's COGS % is expected to increase by 1% (% to % increase).

Answer the following:

What is next year's predicted Gross Margin in $?

What is the predicted % change in Gross margin?

Related Book For answer-question

Income Tax Fundamentals 2013

ISBN: 9781285586618

31st Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

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Posted Date: Jun 07, 2023 08:46 AM

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Current sales are $12,000 with a gross margin % of 45%. Current net profit margin is 8%.

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To calculate next years predicted gross margin we first need to determine the current gross margin a... View the full answer

Income Tax Fundamentals 2013

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