Final answer:
The gross profit percentage of a company with net sales of $700,000 and a cost of goods sold of $455,000 is 35%. This is calculated by subtracting the COGS from the sales to find the gross profit, and then dividing by the sales and multiplying by 100 to get the percentage.
Step-by-step explanation:
If a company has net sales of $700,000 and a cost of goods sold (COGS) of $455,000, the gross profit percentage is calculated using the formula:
Gross Profit = Sales - COGS
Gross Profit = $700,000 - $455,000
Gross Profit = $245,000
Next, to find the gross profit percentage, we divide the gross profit by the sales and multiply by 100 to get a percentage.
Gross Profit Percentage = (Gross Profit / Sales) x 100
Gross Profit Percentage = ($245,000 / $700,000) x 100
Gross Profit Percentage = 0.35 x 100
Gross Profit Percentage = 35%
Therefore, the gross profit percentage is 35%.