nce Albert Canning PLC had a net loss of £18,137 on sales of £279,386. a. What was the company’s profit margin? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. In dollars, sales were $359,815. What was the net loss in dollars? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Respuesta :

Answer:

Albert Canning PLC

a) Profit margin = -6.49%

b) The net loss in dollars = -$23,351.99

Explanation:

a) Data and Calculations:

Net loss = £18,137

Sales = £279,386

Profit margin = (Net loss)/Sales * 100

= -£18,137/£279,386 * 100

= -6.49%

b) Sales in dollars = $359,815

The net loss in dollars = $359,815 * -6.49%

= $23,351.99

c) The profit margin is expressed in percentage terms.  It depicts the relationship between the profit and the sales revenue.