Concept: Ratios: Profit Margin4m
Problem: If XYZ Company has net sales of $500,000 and net income of $25,000, the profit margin is:2m
Problem: A company has income before taxes of $100,000. Net sales are $400,000 and gross profit is $300,000. What is the profit margin, assuming the company has a 40% tax rate?3m
Consider the following:
What is the net profit margin?
Consider the following financial data for Larry’s Pool Supply:
Calculate Larry’s net profit margin.
Assume you are given the following relationships for the Warner Corporation:
Calculate Warner’s profit margin.
Owl Fitness needs to recall what its net sales were based on a profit margin of 12%, net income of $240,000 and average total assets of $1,000,000. Can you help?
L Company reported the following results for the year:
Sales $ 2,000,000
Gross Profit 900,000
Net Income 360,000
Cash from Operating Activities 720,000
L Company’s profit margin was: