Question: I need help with this general accounting question using standard accounting techniques. Using the income statement for Summit Electronics Corp., compute the profit margin ratio.

I need help with this general accounting question using standard accounting techniques.

Using the income statement for Summit Electronics Corp., compute the profit margin ratio. SUMMIT ELECTRONICS CORP. Income Statement Sales $375.000 Cost of Goods Sold $218.000 Gross Profit $157,000 Selling & Admin Expenses $74.200 Lease Expense $26.800 Operating Profit* $56.000 Interest Expense $12,500 Earnings Before Taxes $43,500 Taxes (25%) $10.875 Earnings After Taxes $32.625 Operating profit equals income before interest and taxes

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