J.C.Penny had net sales of $28,496 million,cost of goods sold of $19,092 million,and net income of $997 million.Its gross margin ratio equals:
A)3.5%.
B)5.2%.
C)33%.
D)67%.
E)149.3%.

Question

Quizplus · Accepted Answer

Gross margin ratio = (net sales - cost of goods sold) / net sales

= (28,496 - 19,092) / 28,496

= 9,404 / 28,496

= 0.33 or 33%

Therefore, the correct choice is C) 33%.

JCPenny Had Net Sales of $28,496 Million,cost of Goods Sold