question 125
Multiple Choice
Comparative financial statements for Bent Stew Enterprises are shown below: Assets Current assets: Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment, net Intangible assets, net Total assets Liabilities and Stockholders’ Equity Current liabilities: Accounts payable Other current liabilities Total current liabilities Long-term debt Total liabilities Stockholders’ equity: Common stock Additional paid-in capital Retained earnings Total stockholders’ equity Total liabilities and stockholders’ equity Sales Cost of goods sold Gross margin Operating expenses Operating income Interest expense Earnings before income taxes Income taxes Net earnings December 312018$3,0008,50012,0001,40024,900103,60064,000$192,500$11,00011,80022,800120,000142,80015,00020,00014,70049,700$192,500 Year Ended December 312018$250,000164,00086,00064,00022,0007,50014,5007,800$6,7002017$8006,0008,20090015,900123,30047,000$186,200$12,0003,20015,200128,000143,20015,00020,0008,00043,000$186,2002017$230,000142,30087,70054,00033,7005,90027,8007,140$20,680 How much is the company's gross margin percentage for 2018?
Definitions:
Consumption
The use of goods and services by households, constituting one of the primary components of GDP.
Price Mechanism
The manner in which the prices of goods or services affect the supply and demand of goods and services.
Capitalist Economies
Economic systems where capital assets are privately owned, and the production and distribution of goods and services are determined by competition in a free market.
Legal System
A legal system is a mechanism for creating, interpreting, and enforcing laws in a given jurisdiction, influencing the way justice is administered and how rights are protected.