If Net Sales on the Operating Statement for Brandywine Company

question 118

Multiple Choice

If net sales on the operating statement for Brandywine Company were $200,000--and gross sales were $240,000--what would the cost of sales be if the gross margin was 20 percent?

• A) $140,000
• B) $168,000
• C) $160,000
• D) $120,000
• E) Cannot be determined without knowing Brandywine's expenses and net profit.

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Definitions:

Independent Variable

The independent variable is a variable in an experiment or model that is manipulated or changed to observe its effects on a dependent variable.

Distribution

Refers to how values in a data set are spread or dispersed, indicating the frequency of each value or range of values.

Pie Chart

Figure that uses a circle divided into proportions to represent the percentage of the sample corresponding to each value of a variable.

Frequency Polygon

A graphical representation of a frequency distribution with line segments connecting points directly above class midpoint values on the horizontal axis.