Paper 1 · June 2014 · Ratios and Interpretation
The following information was extracted from the books of a trader on 31 December 2011.
| $ | |
|---|---|
| Net profit | 25 000 |
| Turnover | 200 000 |
| Gross profit | 50 000 |
The gross profit mark-up was
A12½%.
B25%.
C33⅓%.
D50%.
Explanation
Mark-up is gross profit over cost of sales: .
ZIMSEC Principles of Accounts 7112/1 Paper 1 (Multiple Choice), June 2014, Q37