Peg Had Net Sales of $28,496 Million, Its Cost of Goods

question 21

Multiple Choice

Peg had net sales of $28,496 million, its cost of goods sold was $19,092 million, and its net income was $997 million. Its gross margin ratio equals:

• A) 3.5%.
• B) 5.2%.
• C) 33%.
• D) 67%.
• E) 149.3%.

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Definitions:

Government Spending

The total amount of public funds that a government expends on its programs, services, and investments.

Real GDP

GDP, corrected for inflation, to yield a clearer picture of the economic growth and the actual scale of the economy.

Tax Cuts

Reductions in the amount of taxes that individuals or corporations are required to pay to the government.

Government's Plan

A systematic arrangement of actions or strategies designed by a government to achieve specific outcomes or objectives.