What is the gross profit percentage

Response to the following problem:

The following balances are taken from the records of Mohan Corp. at December 31, 2016, its first year-end:

Transportation-in                               $     500

Delivery expense                                     1,200

Sales                                                    25,000

Purchases                                             20,000

Sales returns and allowances                    2,000

Purchase returns and allowances               1,000

Sales Discounts                                        400

Purchase discounts                                   300

Interest expense                                     4,000

The inventory at December 31, 2016 amounted to $7,900.


1. Calculate the gross profit.

2. What is the gross profit percentage?

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Financial Accounting: What is the gross profit percentage
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