Question

Ravens inc. has net sales of $200,000, cost of goods sold of $120,000, selling expenses of $6,000, and nonoperating expenses of $2,000. what is the company's gross profit?

Answer 1

Ravens Inc has made a profit. The costs of goods is $120,000 and selling and nonoperational expenses is $8000, leaving a balance of $72000 in profit from the company's net sales of $200,000.