Corby Distilleries Supplied the Following Data at the End of the Current

question 97

Essay

Corby Distilleries supplied the following data at the end of the current year.
Finished goods inventory, Jan 1. $12,000
Finished goods inventory, Dec. 31 7,500
Cost of goods manufactured 152,380
Sales revenue 212,000
Sales commissions 19,080
Research and development costs 15,900
Required:
A. Calculate the cost of goods sold percent.
B. Calculate the gross margin percent.
C. Calculate the selling expense percent.
D. Calculate the administrative expense percent.
E. Calculate the operating income percent.

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Definitions:

Small Company

A business with a small number of employees and a low volume of sales compared to larger companies in its industry.

Positive Statement

A statement that can be tested and validated; it describes what is and not what should be.

Federal Government

The national government of a federal republic, which possesses certain powers at the national level while other powers are shared with or reserved for the states.

Interest Rates

The percentage charged on a loan or paid on savings, effectively the price of capital.