The Menswear Department of Nancy‘s Department Store had sales of $191,000, cost of goods sold of $134,000, indirect expenses of $13,550, and direct expenses of $27,800 for the current period. What is the Menswear Department's contribution to overhead as a percent of sales?

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04-05-2018
Mathematics

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The Menswear Department of Nancy‘s Department Store had sales of $191,000, cost of goods sold of $134,000, indirect expenses of $13,550, and direct expenses of $27,800 for the current period. What is the Menswear Department's contribution to overhead as a percent of sales?

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CastleRook CastleRook · Answer 1 · 2018-05-14T10:59:12+02:00

CastleRook CastleRook

14-05-2018

The contribution of overhead as percentage of sales will be found as follows:
Overheads=134000+13550+27800=$175350
Sales=$191000
thus the percentage of overheads will be:
overheads/sales
=175350/191000
=0.91806
=91.806%

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