Solution-Compute the gross profit percentage for both years

Compute the gross profit percentage for both years

Reference no: EM132873521

Question - Selected financial data for Quick Sell, Inc., a retail store, appear as follows.

	Year 2	Year 1
Sales (all on account)	$784,000	$606,000
Cost of goods sold	428,000	367,000
Average inventory during the year	148,000	138,000
Average receivables during the year	150,000	100,000

Required -

a-1. Compute the gross profit percentage for both years.

a-2. Compute the inventory turnover for both years.

a-3. Compute the accounts receivable turnover for both years.

b. Which of the following show a positive or negative trend?

Reference no: EM132873521

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Compute the gross profit percentage for both years

Reference no: EM132873521

Reference no: EM132873521

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