calculate the net profit for an item sold for $25 that has a $8 cost of goods sold and 30% operating expense…
calculate the net profit for an item sold for $25 that has a $8 cost of goods sold and 30% operating expense cost. net profit = $?
Answer
Explanation:
Step1: Calculate operating expenses
Operating expenses = Selling price × Operating - expense rate. So, operating expenses = $25\times0.3=$7.5$.
Step2: Calculate net - profit
Net profit = Selling price - Cost of goods sold - Operating expenses. Substitute the values: Net profit = $25 - 8-7.5$. $25−8 - 7.5=9.5$.
Answer:
$9.5$