Determine the company's gross profit rate and profit margin for both years.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Blossom Company reported the following in its 2022 and 2021 income statements.
Net sales
Cost of goods sold
Operating expenses
Income tax expense
Net income
2022
2021
$162,000
$136,000
97,200
81,600
29,160
20,400
20,000
12,000
$ 15,640 $ 22,000
Determine the company's gross profit rate and profit margin for both years. (Round answers to 1 decimal place, e.g. 52.7%.)
Gross profit rate
Profit margin
2022
eTextbook and Media
%
%
2021
%
%
Transcribed Image Text:Blossom Company reported the following in its 2022 and 2021 income statements. Net sales Cost of goods sold Operating expenses Income tax expense Net income 2022 2021 $162,000 $136,000 97,200 81,600 29,160 20,400 20,000 12,000 $ 15,640 $ 22,000 Determine the company's gross profit rate and profit margin for both years. (Round answers to 1 decimal place, e.g. 52.7%.) Gross profit rate Profit margin 2022 eTextbook and Media % % 2021 % %
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