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25 February, 01:14

During the current year, merchandise is sold for $137,500 cash and $425,600 on account. the cost of the merchandise sold is $322,325. what is the amount of the gross sales margin

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  1. 25 February, 01:27
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    The gross sales margin equals 42.76%

    The formula to calculate the Gross Sales Margin is (Revenue - Cost of Goods Sold) / Revenue

    Revenue = $137,500 + $425,600 = $563,100

    ($563,100 - 322,325) / 563,100 =

    240,775 / 563,100 = 42.76%
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