If a Company Has Net Sales of $500,000 and Cost

question 184

Multiple Choice

If a company has net sales of $500,000 and cost of goods sold of $350,000, the gross profit percentage is

• A) 70%.
• B) 30%.
• C) 15%.
• D) 100%.

Grasp the criteria for classifying inventory into ABC categories based on annual dollar volume or demand.

Identify the four main types of inventory.

Understand the fundamental inventory questions and how typical inventory models address them.

Dispel common misconceptions about inventory management practices of major companies.