Figure 10-3
Farr Company Had the Following Information -Refer to Figure 10-3

question 28

Multiple Choice

Figure 10-3
Farr Company had the following information: $\begin{array}{lcc}\text { Revenues } & & £ 400,000 \\\text { Cost of goods sold: } &£ 100,000 & \\\text { Direct materials } & 50,000\\ \text { Overhead } & 50,000 & 200,000 \\ \text { Gross profit } & & £ 200,000 \\\text { Selling and administrative expenses } & & 75,000 \\ \text { Operating income } & & £ 125,000 \\\end{array}$
-Refer to Figure 10-3. What is the mark up based on cost of goods sold?

• A)50.0%
• B)100.0%
• C)37.5%
• D)62.5%

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Definitions:

Sales Team

A group of professionals dedicated to selling products or services, working collectively to meet or exceed sales targets.

Computer Software

Programs and operating information used by a computer to perform specific tasks or functions.

Accumulating Wealth

The process of gathering or increasing assets, money, and valuable resources over time.

Heredity Factor

The genetic influence on traits and characteristics that individuals inherit from their parents.