If the gross profit margin is 10% of sales, what is the value of the cost of goods sold?
-
A.
N10,000 -
B.
N90,000 -
C.
N105,600 -
D.
N110,000
Correct Answer: Option B
Explanation
(frac{10}{100}) x 100,000 = 10,000
cost of goods sold = sales – profit
100,000 – 10,000 = 90,000