A Retailer's Gross Profit for 2017 Was $70,000; Its Net

question 72

Multiple Choice

A retailer's gross profit for 2017 was $70,000; its net sales were $1,000,000 and average inventory at cost equaled $250,000.Its GMROI equaled ________.

• A) 25.0 percent
• B) 28.0 percent
• C) 27.2 percent
• D) 40.0 percent

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Definitions:

Nobel Prizes

A set of annual international awards bestowed in several categories by Swedish and Norwegian institutions in recognition of academic, cultural, or scientific advances.

Ionize

The process by which an atom or a molecule acquires a negative or positive charge by gaining or losing electrons.

Alpha Particles

A type of ionizing radiation consisting of two protons and two neutrons; they are a common form of particles emitted by radioactive materials.

Gamma Rays

Electromagnetic radiation of the highest frequency and energy, emitted from atomic nuclei during radioactive decay.