Twenty years ago, a family purchased a vacant lot for $26,500. they made no improvements during the time they owned the property. recently, they sold the lot for $62,275. what was their percentage of gross profit?

Question

Business

Barrett Skinner

16 August, 12:50

Twenty years ago, a family purchased a vacant lot for $26,500. they made no improvements during the time they owned the property. recently, they sold the lot for $62,275. what was their percentage of gross profit?

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Annabel Jacobson · Answer 1

To find the gross profit margin found by:

(revenue - cost of goods sold) / revenue

Revenue = $62,275

Cost of goods sold (purchase price) = $26,500

= (62,275 - 26,500) / 62,275

= 35,775/62,275

= 0.57 x 100

Percentage of gross profit = 57%