How do I find gross profit for the following accounting question?
During the current year, merchandise is sold for $127,500 cash and $435,600 on account. The cost of the merchandise sold is $422,325. what is the amount of the gross profit?
a) 127,500
b) 140,775
c) 422,325
d) 435,600
( $ 127, 500 + 435,600) – 422, 325.00 = b. 140, 775
