121. A company has sales of $1,500,000, sales discounts of $102,000, sales returns and allowances of $123,000, shipping charges of $15,000, sales commissions of $34,000,net income of$263,500, and cost of goods sold of $420,000. What is the gross profit/margin ratio?
A. 72.0%
B. 53.7%
C. 67.1%
D. 81.7%
E. 17.6%
122. A company has net sales of $1,832,000, sales commissions of $194,000, net income of$366,400, and the gross profit ratio of60%.What is the amount of cost of goods sold?
A. $ 538,800
B. $ 732,800
C. $ 655,200
D. $ 879,360
E. $1,099,200
123. A company has net sales of $1,500,000, sales commissions in the amount of $194,000, net income of$366,400, and the gross profit ratio of60%.What amount is listed as gross profit on the income statement for the period?
A. $ 563,760
B. $ 600,000
C. $ 783,600
D. $ 900,000
E. $1,119,840
124. A company has the following accounts. What is the acid test ratio?
Cash
|
$6,754
|
|
Dividends
|
$2,000
|
Accounts receivable
|
13,733
|
|
Consulting fees earned
|
13,718
|
Office supplies
|
2,625
|
|
Rent expense
|
3,673
|
Land
|
37,153
|
|
Salaries expense
|
6,642
|
Office equipment
|
14,535
|
|
Telephone expense
|
560
|
Accounts payable
|
6,463
|
|
Miscellaneous expense
|
280
|
Common stock
|
54,490
|
|
Retained earnings
|
13,847
|
A. 3.58%
B. 3.17%
C. 1.80%
D. 4.00%
E. 2.68%
125. A company has the following accounts. What is the acid test ratio?
Cash
|
$10,000
|
|
Wages payable
|
$2,000
|
Accounts receivable
|
20,500
|
|
Consulting fees earned
|
13,718
|
|
Office supplies
|
2,625
|
|
Rent expense
|
3,673
|
|
Land
|
37,153
|
|
Salaries expense
|
6,642
|
|
Office equipment
|
14,535
|
|
Telephone expense
|
560
|
|
Accounts payable
|
18,352
|
|
Miscellaneous expense
|
280
|
|
Common stock
|
54,490
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
A. 4.50%
B. 2.30%
C. 1.75%
D. 4.00%
E. 1.50%
126. Total Company has current liabilities in the amount of $1,250,000 and an acid test ratio of 3 and a current ratio of 7. What amount of quick assets does Total Company have on the balance sheet?
A. $8,750,000
B. $ 416,667
C. $3,750,000
D. $1,250,000
E. $2,500,000
127. Vital Company had net income on this period’s income statement in the amount of $624,240, expenses other than cost of goods sold in the amount of $381,480, and a gross profit ratio of 58%.What was the amount of net sales on the income statement?
A. $1,836,000
B. $ 1,076,276
C. $1,734,000
D. Can’t be determined with the information given.
E. $1,005,720