Exercise 5-7 Financial information for two companies are presented below.

Fill in the missing amounts.

		Sandhill Company		Carla Vista Company
Sales revenue		$90,200		$enter a dollar amount
Sales returns and allowances		enter a dollar amount		$ 3,000
Net sales		83,800		130,000
Cost of goods sold		56,000		enter a dollar amount
Gross profit		$enter a subtotal of the two previous amounts		48,000
Operating expenses		14,760		enter a dollar amount
Net income		$enter a total net income		16,400

Calculate the profit margin and the gross profit rate for each company. (Round answers to 1 decimal place, e.g. 15.5%.)

		Sandhill Company			Carla Vista Company
Profit margin		enter percentages rounded to 1 decimal place	%		enter percentages rounded to 1 decimal place	%
Gross profit rate		enter percentages rounded to 1 decimal place	%		enter percentages rounded to 1 decimal place	%