Respuesta :
Answer:
Gross Profit Margin = 3297800
Explanation:
given data
Manufacturing costs = $2,800
Units manufactured = 56,000
Units sold = 44,000
Sale Price = $75 per unit
Beginning inventory = 0 units
solution
we get here first Manufacturing Cost per unit that is
Manufacturing Cost per unit = Manufacturing Cost ÷ Units Manufactured ....1
Manufacturing Cost per unit = [tex]\frac{2800}{56000}[/tex]
Manufacturing Cost per unit = $0.05
and Closing Stock will be
Closing Stock = Units Manufactured - unit sold ........2
Closing Stock = 56,000 - 44,000
Closing Stock = 12000 units
and
Closing Stock Value will be as
Closing Stock Value = Closing Stock × Manufacturing Cost per unit .........3
Closing Stock Value = 12000 × $0.05
Closing Stock Value = $600
and Sale Value will be
sale value = Units Sold × Sale Price per unit ............4
sale value = 44,000 × $75
sale value = $3300000
so Gross Profit Margin will be as
Gross Profit Margin = Sale Value + closing Stock value - Manufacturing cost - opening stock value ...................5
Gross Profit Margin = $3300000 + $600 - $2,800 - 0
Gross Profit Margin = 3297800
