Calculating Gross Profit and operating income as a %?
Net Sales 2008 $32,479.00 2007 $24,006.00
Cost of sales 2008 $21,334.00 2007$15,852.00
Research & development expenses 2008 $1,109.00 2007$782.00
Selling, general & administrative expense 2008 $3,761.00 2007 $2,963.00
Income from operations 2008 $6,275.00 2007 $4,409.00
other net income 2008 $620.00 2007 $599.00
provisions 2008 $2,061.00 2007 $1,512.00
Net Income 2008 $4,834.00 2007$3,496.00
So I have the above amounts $$'s for 2007 & 2008
A. Calculate the amount of Apple’s gross profit for each year. Has gross profit as a percentage of sales changed significantly during the past year?
Net Sales $32,479.00 $24,006.00
Cost of sales $21,334.00 $15,852.00
Gross Profit $11,145.00 $8,154.00
B. Calculate the amount of Apple’s operating income for each year. Has operating income as a percentage of sales changed significantly during the past year?
But I need to figure out how to calculate the % of operating income each year??? Checked my book and other websites can't find much any help would be great
I am taking this course online so there is no class time and it is hard to interact with my teacher please only leave me a comment if you are able to help me figure out the question above or a website that I might find that information?
So this is what I am thinking
Net sales - cost of merchandise sold = gross profit
Gross profit - cost of sales or selling, general & administrative = operating income
ALSO: Operating income as a percentage of sales = operating income/sales.
Is this correct?
- BobbieLv 79 years agoFavorite Answer
And now back to your study material and the class when you are scheduled to go back and pay attention during the class and ask questions so that the teacher instructor can help you to get a good understanding of how to get your correct answer yourself without any outside help being available to you at that time in your life.
Hope that you find the above enclosed information useful.
- Anonymous4 years ago
operating earnings is the earnings that you get from operating your corporation and is composed of sales - value of sturdy offered. it truly is likewise Gross earnings and excludes earnings derived from different resources that dint deal out of your operations which consists of funding earnings or one time features on sales of fastened resources. sales = gross sales yet operating earnings isn't sales or gross sales. operating earnings is sales - value of things offered.