Determine the gross profit if cogs vary with sales
Question:
Consider the following condensed Income Statement:2004Sales $8,000,000COGS 6,500,000Gross Profit 1,500,000Sales growth in 2005 is expected to be 15%If COGS is assumed to vary directly with sales, then Gross Profit for 2005 will be:
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Consider the following condensed Income Statement: If COGS is assumed to vary directly with sales, then Gross Profit for 2005 will be:
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