document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1121871>Question 1121871</A>: <I><SPAN STYLE=\"word-break: break-all;\"> A sporting goods shop received $600 for a dozen pairs of shoes that costs 420. If the cost of doing business was 180 of the sales, what percent net was realized?\r<BR>\n" );
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document.write( "Thanks for your provided solution and answer! </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #737878 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=737878\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> the shoes were sold for 600 and the cost was 420.\r<BR>\n" );
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document.write( "that's a gross profit of 180.\r<BR>\n" );
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document.write( "the cost of business was 18% of the sales.\r<BR>\n" );
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document.write( "that means the cost of business was .18 * 600 = 108.\r<BR>\n" );
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document.write( "subtract that from the gross profit and the net profit becomes 180 - 108 =  72.\r<BR>\n" );
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document.write( "if you look at percent profit over cost, then the gross profit percent = 180 / 420 * 100 = 42.86% and the net profit percent = 72 / 420 * 100 = 17.14%.\r<BR>\n" );
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document.write( "but .....\r<BR>\n" );
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document.write( "gross profit margin formula is revenue minus cost of goods sold and gross profit margin formula is gross profit divided by revenue.\r<BR>\n" );
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document.write( "and .....\r<BR>\n" );
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document.write( "net profit margin formula is revenue minus total cost of doing business and net profit margin is net profit divided by revenue.\r<BR>\n" );
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document.write( "this would lead to different percentages.\r<BR>\n" );
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document.write( "gross profit margin would then be 180 / 600 * 100 = 30% and net profit margin would then be 72 / 600 * 100 = 12%.\r<BR>\n" );
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document.write( "it's not clear what your instructors are looking for, so it's difficult to come up with one answer to the question.\r<BR>\n" );
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document.write( "both answers apply depending on what your instructor is looking for.\r<BR>\n" );
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document.write( "here's a good reference on gross profit margin and net profit margin that might help you to understand what i'm talking about.\r<BR>\n" );
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document.write( "<a  rel=nofollow HREF= \"https://www.grow.com/blog/gross-profit-margin-net-profit-margin/#comment-449\" target = \"_blank\">https://www.grow.com/blog/gross-profit-margin-net-profit-margin/#comment-449</a>\r<BR>\n" );
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document.write( "i'm sorry if i confused you, but i became confused after reading this article.\r<BR>\n" );
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document.write( "without looking at the article, i would have answered the first way, but after looking at the article, i was not so sure.\r<BR>\n" );
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document.write( "take your pick either way and/or check with your instructor to see which of these concepts he is looking for.\r<BR>\n" );
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document.write( "first way:\r<BR>\n" );
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document.write( "gross profit percent = 180 / 420.<BR>\n" );
document.write( "net profit percent = (600 - 18% of 600) / 420.\r<BR>\n" );
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document.write( "second way:\r<BR>\n" );
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document.write( "gross profit margin = 180 / 600.<BR>\n" );
document.write( "net profit margin = (600 - 18% of 600) / 600.\r<BR>\n" );
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document.write( " </SPAN>\n" );
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