Sales – Gross Profit is equal to ______

Question

RRB Paper · Accepted Answer

Sales – Gross Profit is equal to the cost of goods sold. Gross Profit Margin Gross profit equals net sales minus the cost of goods sold. This ratio indicates the basic cost structure of the firm. An analysis of this ratio over time shows the firm's relative cost-price position. As always, we must compare these margins to comparable industry results and to major competitors. This margin can also be impacted by a change in the firm's product mix toward higher or lower profit margin items. Therefore an analyst would ideally want to know the breakdown of sales by division and also the relative profitability of each division.

Sales – Gross Profit is equal to ______

net profit.

administrative expenses.

cost of production.

cost of goods sold.

The correct answer is `No. 4: cost of goods sold.`

Details

Frameworks

Database

Billing

Completed

Drop campaign files here or click to upload.

No result found

Advanced Search

Sales – Gross Profit is equal to ______

net profit.

administrative expenses.

cost of production.

cost of goods sold.

The correct answer is No. 4: cost of goods sold.

The correct answer is `No. 4: cost of goods sold.`