1. **State the problem**: We need to find the firm's gross profit given sales and cost of goods sold (COGS). 2. **Identify the formula for gross profit**: Gross profit is calculated as the difference between sales and cost of goods sold: $$\text{Gross Profit} = \text{Sales} - \text{Cost of Goods Sold}$$ 3. **Plug in the values given**: Sales = 50250000 COGS = 35025000 4. **Calculate gross profit**: $$\text{Gross Profit} = 50250000 - 35025000 = 15225000$$ 5. **Interpretation**: The firm's gross profit is 15225000.