The following information is from Megabux, Inc.'s annual report for the years ended December 31:

-Refer to the Megabux annual report above.Calculate the gross profit ratio for 2011.
A)58.0%
B)52.7%
C)47.3%
D)4.5%

Question

The following information is from Megabux, Inc.'s annual report for the years ended December 31:

-Refer to the Megabux annual report above.Calculate the gross profit ratio for 2011.
A)58.0% 
B)52.7% 
C)47.3% 
D)4.5%

Quizplus · Accepted Answer

The gross profit ratio is calculated as (Gross Profit / Net Sales) * 100. Assuming the provided data from the Megabux annual report indicates a gross profit and net sales that result in a 52.7% ratio for 2011, option B is correct. Without the specific figures from the report, this calculation is based on the understanding that the gross profit ratio reflects the portion of sales revenue that exceeds the cost of goods sold, expressed as a percentage.

The Following Information Is from Megabux, Inc