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Cost of Goods Sold, Profit margin, and Net Income for a Manufacturing Company Th

ID: 2610074 • Letter: C

Question

Cost of Goods Sold, Profit margin, and Net Income for a Manufacturing Company

The following information is available for Gonzalez Manufacturing Company for the month ending July 31, 2014:

For the month ended July 31, 2014, determine Gonzalez's (a) cost of goods sold, (b) gross profit, and (c) net income.

(a)

Gonzalez Manufacturing Company

Cost of Goods Sold

July 31, 2014

  

$  

  

  

  

$  

  

  

  

$  


(b)

Gonzalez Manufacturing Company

Gross Profit

July 31, 2014

  

$  

  

  

  

$  


(c)

Gonzalez Manufacturing Company

Net Income

July 31, 2014

  

$  

Operating expenses:

  

$  

  

  

Total operating expenses

  

  

$  

Cost of goods manufactured $274,520 Selling expenses 91,700 Administrative expenses 48,480 Sales 584,090 Finished goods inventory, July 1 66,000 Finished goods inventory, July 31 60,160

Explanation / Answer

(a) cost of goods sold :

B) Gross profit :

c) Net income

Beginning finished goods inventory 66000 Cost of goods manufactured 274520 Cost of goods available for sale 340520 Less: ENding finished goods inventory (60160) Cost of goods sold 280360