Sales was D12,500, total expenses was D2,500 and net profit is 10% of sales what is the gross profit? net profit = 0.1 x 12500 = 1250 gross profit = sales -...

Answer Details

The formula for calculating gross profit is Sales - Cost of Goods Sold (COGS). However, the question does not provide the COGS figure. So, we can use the formula for calculating net profit which is Net Profit = Gross Profit - Total Expenses. We are given that Net Profit is 10% of Sales, which means Net Profit = 0.1 x Sales. So, we can substitute the given values to get: 1250 = Gross Profit - 2500 Solving for Gross Profit, we get: Gross Profit = 1250 + 2500 = 3750 Therefore, the gross profit is D3,750.