Using the information below, calculate gross profit for the period: Beginning Raw Materials Inventory$25,000 Ending Raw Materials Inventory 30,000 Beginning Work in Process Inventory 55,000 Ending Work in Process Inventory 64,000 Beginning Finished Goods Inventory 80,000 Ending Finished Goods Inventory 67,000 Cost of Goods Sold for the period 540,000 Sales revenues for the period 1,254,000 Operating expenses for the period 232,000

Question

Business

Cora

27 October, 02:51

Using the information below, calculate gross profit for the period: Beginning Raw Materials Inventory$25,000 Ending Raw Materials Inventory 30,000 Beginning Work in Process Inventory 55,000 Ending Work in Process Inventory 64,000 Beginning Finished Goods Inventory 80,000 Ending Finished Goods Inventory 67,000 Cost of Goods Sold for the period 540,000 Sales revenues for the period 1,254,000 Operating expenses for the period 232,000

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Lea · Answer 1

Gross Profit 714,000

Explanation:

Gross Proft: is the diference between the sales revenue and the cost of the goods sold.

Sales revenue 1,254,000

Cost of Goods Sold (540,000)

Gross Profit 714,000

note: All the other account and values are irrelevant to determinate the gross profit.

Other way to calculate gross profit:

(sale price per unit - cost per unit) x unit sold