Principles of Accounting
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In our eReader you can find the full English version of the book. Read Principles of Accounting Online - link to read the book on full screen. Our eReader also allows you to upload and read Pdf, Txt, ePub and fb2 books. In the Mini eReder on the page below you can quickly view all pages of the book - Read Book Principles of Accounting
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To all of these he then adds the per- centage of profit which he desires to realize, and such figures constitute his selling price. Cost necessarily precedes selling price. Hence it would seem illogical for a man to settle upon a selling price and then deduct the profit which he desires to make, in order to ascertain what his cost is to be.
The percentage of gross profit is undoubtedly a valuable means of presenting comprehensive information as to profits. A certain line of goods showing a gros...s profit of 60 per cent, for the present year should, under precisely similar conditions, show the same percentage of gross profit during the next year. If the gross profit is different, then the cause must be sought in one of two places sales or cost. If the sales have increased during this period as compared with the next preceding, whereas the cost has remained practically the same, the cause of the in- crease in profits may be traced either to lower purchase prices or a greater number of completed sales without returns or allow- ances.
What to read after Principles of Accounting?
You can find similar books in the "Read Also" column, or choose other free books by John Raymond Wildman to read onlineMoreLess
To quickly assess the difficulty of the text, read a short excerpt:
To all of these he then adds the per- centage of profit which he desires to realize, and such figures constitute his selling price. Cost necessarily precedes selling price. Hence it would seem illogical for a man to settle upon a selling price and then deduct the profit which he desires to make, in order to ascertain what his cost is to be.
The percentage of gross profit is undoubtedly a valuable means of presenting comprehensive information as to profits. A certain line of goods showing a gros...s profit of 60 per cent, for the present year should, under precisely similar conditions, show the same percentage of gross profit during the next year. If the gross profit is different, then the cause must be sought in one of two places sales or cost. If the sales have increased during this period as compared with the next preceding, whereas the cost has remained practically the same, the cause of the in- crease in profits may be traced either to lower purchase prices or a greater number of completed sales without returns or allow- ances.
What to read after Principles of Accounting?
You can find similar books in the "Read Also" column, or choose other free books by John Raymond Wildman to read onlineMoreLess
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