The Following Financial Statement Information Is Available for James Corporation

question 183

Multiple Choice

The following financial statement information is available for James Corporation: $\begin{array}{lrr}&2017&2016\\\text { Net sales } & \$ 780,000 & \$ 697,000 \\\text { Cost of goods sold } & 406,000 & 377,000 \\\text { Net income } & 120,000 & 80,000 \\\text { Tax expense } & 48,000 & 29,000 \\\text { Interest expense } & 14,000 & 14,000\end{array}$ The profit margin ratio for 2017 is

• A) 15.4%.
• B) 47.9%.
• C) 32.1%.
• D) 13.5%.

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Definitions:

Private Property

Land or belongings owned by individuals or entities that are not the government, protected by law from unauthorized use or trespass.

Bill of Rights

A formal declaration listing the fundamental rights and freedoms that individuals are entitled to in a society.

Federal Government

The national government of a country, which holds the highest level of authority over its territories.

Congress

The United States' national legislature, made up of two chambers: the Senate and the House of Representatives.