calculate the gross profit margin for an item that cost the business $8 and sold for $25. gross profit = $17…
calculate the gross profit margin for an item that cost the business $8 and sold for $25. gross profit = $17 gross profit margin = ?%
Answer
Answer:
68%
Explanation:
Step1: Recall formula
Gross Profit Margin = $\frac{\text{Gross Profit}}{\text{Revenue}}\times100%$
Step2: Identify values
Gross Profit = $17$, Revenue = $25$
Step3: Calculate margin
$\frac{17}{25}\times100% = 0.68\times100%=68%$