Older MCQs might not have the typical A, B, C,
D
choices. They
have choices 1, 2, 3, and a combination of them is the answer. Below is the key that maps such
combinations to the answer.
A
1, 2 and 3 are correct
B
1 and 2 only are correct
C
2 and 3 only are correct
D
1 only is correct
the advantages and disadvantages of each type of retailer
the calculation of revenue, gross profit, gross profit margin, profit for the year (net profit), working capital and mark-up percentage 1 Revenue (Sales or Turnover) = Selling price per unit × Number of units sold 2 Gross profit = Revenue – Cost of Sales (the cost of purchasing inventory) 3 Gross profit margin (%) = Gross profit ÷ Revenue × 100 4 Net profit/net loss for the year = Gross profit – Expenses 5 Working capital = Current assets – Current liabilities 6 Mark-up percentage = (Average Selling Price – Unit Cost) ÷ Unit Cost