QUESTION 2 Marigold Inc has the following income statement i

QUESTION 2 Marigold, Inc. has the following income statement (in millions) Marigold, Inc. Income Statement For the Year Ended December 31, 2017 Net Sales Cost of Goods Sold Gross Profit Operating Expenses Net Income $300 168.0 132.0 41 91.0 Using vert ical analysis, what percentage is assigned to Cost of Goods Sold? 44% 56% 100% None of the answers are correct.

Solution

Answer b. 56% % Assigned to Cost of Goods Sold = $168 / $300 % Assigned to Cost of Goods Sold = 56%