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14 October, 04:55

Your revenue is $27,438 for the month and your gross margin was 72%. Your operating expenses were $14,023. What

was your profit?

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Answers (1)
  1. 14 October, 05:47
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    Answer:Net profit for the month is $5,732

    Explanation:

    Given

    Sales revenue = 27438

    Gross margin = 72%

    Operating expenses = 14023

    Calculation of Cost of goods sold

    Gross margin = (Total sales revenue - COGS) / Total sales revenue

    72% = (27438-COGS) / 27438

    19755.36 = (27438-COGS)

    COGS = $7682.64

    Calculation of gross Profit

    Gross profit = Sales revenue - Cost of goods sold

    =27438 - 7682.64

    Gross profit = 19755.36

    Calculation of net Profit

    Net profit = Gross profit - operating expenses

    =19755.36 - 14023

    =5,732.36

    Net profit for the month is $5,732
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