To compute the total sales, you multiply the price per item by the quantity sold. In this case, the price per item is 123 pesos, and the quantity sold is 20.
Total sales = Price per item * Quantity sold
Total sales = 123 pesos * 20
Total sales = 2,460 pesos
Therefore, you will get a sale of 2,460 pesos.
To calculate the revenue, you subtract the expenses from the total sales.
Revenue = Total sales - Expenses
Revenue = 1,432 pesos - 324 pesos
Revenue = 1,108 pesos
Therefore, the revenue is 1,108 pesos.
To calculate the profit margin, you divide the profit by the revenue and multiply by 100 to get it as a percentage.
Profit margin = (Profit / Revenue) * 100
Profit margin = (345 pesos / 1,500 pesos) * 100
Profit margin = 0.23 * 100
Profit margin = 23%
Therefore, the profit margin is 23%.
Compute the following:
Imagine that you sell shoes amounting to 123 pesos, and the quantity that is sold is 20. How much sale do you get?
⚫ How much is the revenue if your sale is 1,432.00 and the company's expenses amount to 324.00?
• What will be the profit margin if the revenue is 345.00 and the sale is 1,500.00?
1 answer