Sapien Corporation has provided the following data for the most recent year: The company's gross margin percentage is closest to:

A) 52.3%
B) 1691.2%
C) 5.9%
D) 34.3%

Question

Sapien Corporation has provided the following data for the most recent year:   The company's gross margin percentage is closest to:A) 52.3%B) 1691.2%C) 5.9%D) 34.3%

Carlos Salgado · Accepted Answer

Final Answer : D, Explanation :  To calculate the gross margin percentage, we need to use the formula:Gross Margin Percentage = (Gross Profit / Revenue) x 100From the provided data, we can see that the Gross Profit is $58,068,000 and the Revenue is $169,169,000. Plugging these values into the formula, we get:Gross Margin Percentage = (58,068,000 / 169,169,000) x 100Gross Margin Percentage = 34.3%Therefore, the closest answer choice is D) 34.3%. Gross margin percentage = Gross margin ÷ Sales= $460,000 ÷ $1,340,000 = 34.3% (rounded)

Sapien Corporation has provided the following data for the most recent year: The company's gross margin percentage is closest to:

A) 52.3%
B) 1691.2%
C) 5.9%
D) 34.3%

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