Two of PG&E products are sold to a customer during the month of January 2016 (1 unit each). Product A is sold for $100,000 and Product B is sold for $50,000. Both products are billed in arrears in the following month. PG&E is also required to pay 50% of Product A’s revenue and 10% of Product B’s to a vendor in the form of royalty payment
How much Revenue would PG&E accrue in January 2016?
How much Cost of Sales would PG&E accrue in January 2016?
What would the Gross Margin % be of the two products combined?
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Cost of Sales (January 2016) = Royalty payment Product A + Royalty payment Product B
Cost of Sales (January 2016) = ($100,000*50%) + ($50,000*10%)
Cost of Sales (January 2016) = $50,0...