Question

Last year, Rusty’s Tools experienced $67,550 in net sales, creating a gross profit of $50,338. If Rusty had a total operating expense of $35,200 last year, what was his net profit margin? a. 22. 4% b. 52. 1% c. 74. 5% d. 79. 0%.

Answer 1

Rusky's net profit margin will be 22.4%

What will be the net profit margin?

It is given that

Total sales = $67550

The gross profit =$50338

The operating expenses =$35200

Now to find out the net profit, we have to subtract the expenses from the gross margin

The net profit = Gross profit - operating expenses

$\rm Net \ profit= 50338-35200=15138$

$\rm Net \ profit \ percentage = \dfrac{15138}{67550}\times 100$

$\rm Net \ profit \ percentage=22.4$%

Thus Rusky's net profit margin will be 22.4%

To know more about profit and loss follow

https://brainly.com/question/19104371