Explain the term Gross profit margin.

Q: what is the result when expenses are larger than the gross margin.

A: Gross margin is the amount that is left after deduction of cost of goods sold from revenue. Gross…

Q: What is Unit-Profit or Unit-Cost Calculation?

A: Cost:   It is the economic value of resources incurred by a firm to manufacture a product or render…

Q: How does the lower of cost or market relate to profit margins?

A: Answer: The lower cost or market implies that, depending on how historical costs and market costs…

Q: What are the Profit margins?

A: Answer: Profit margin represents a product, company or sector profitability. It nothing but the…

Q: financial variables that affect the price-earning ratio

A: The price-to-Earning ratio is derived by dividing the Market Price of Share by Earning Per Share.…

Q: Define Gross Profit Method.

A: Definition:   Merchandise Inventory: Merchandise is the stock of goods bought by a wholesaler, or a…

Q: What is the gross profit? [ Select ] How much is the operating expense? | Select I | Select ] How…

A: Solution:- As per the above questions first we required to compute income statement. which helps to…

Q: calculate gross profit using FIFO and weighted average

A: FIFO and weighted average are methods of valuation of inventory. FIFO means First - in -First out,…

Q: Define the term s price-earnings ratio?

A: Financial Ratios: Financial ratio analysis expresses the relationships between different items…

Q: Describe analyzing of profit using contribution margin.

A: The contribution margin ratio is the percentage of difference in a company's sales and variable…

Q: Describe following:* Market approach* Income approach* Cost approach

A: Market Approach:   Market approach is a method used to assess the value of an asset depending on the…

Q: Explain the concepts of revenue, costs, break-even and profit with examples?

A: These concepts are related to variable costing in which we use variable cost to compute our…

Q: The gross profit margin percentage (rounded) was?

A: Gross profit margin is the difference between Sales Revenue and Cost of Goods sold. Cost of goods…

Q: Profit margin is equal to ,

A: Net profit is the profit generated after deducting all operating and non-operating costs from the…

Q: what is profitability ratio?

A: Financial ratios provide information related to the company. There are various types of ratios like…

Q: What's the difference between the profit margin and gross margin ratio?

A: Ratio is the arithmetic relationship between two figures. Accounting ratios shows the…

Q: PROFITABILITY Solution and answer Interpretation Gross profit margin Operating profit margin Net…

A: Solution:- 1)Calculation of Gross profit margin as follows under:- Formula as follows under:-…

Q: Find an expression for the marginal revenue function, s

A: Marginal revenue is the additional revenue earned from selling one more unit of output.  It is…

Q: Why is the constant gross-margin percentage NRV method sometimes called a “joint-cost allocation and…

A: Constant gross-margin percentage NRV method: Constant gross margin percentage NRV method is a method…

Q: What are the three components that can be described as the profit margin?

A: Income minus expenses gives us profit. The profit margin is the percentage of profits on sales or…

Q: cost-volume-profit relationship

A: Sales - Variable expenses - Fixed expenses = Profit, where,  Sales - Variable expenses =…

Q: Describe the Unit-Profit or Unit-Cost Calculation?

A: A unit cost is a net expense a firm has incurred to manufacture, store, and sell one unit of a…

Q: What are the usefulness of the gross margin method?

A:

Q: Compute the following ratio analysis: Operating Profit Margin Net Profit Margin Write your…

A: Current Year: Net Sales = 120,000 Operating Income = 43,000 Net Income = 35,000   Prior Year: Net…

Q: How does the contribution margin affect the cost-volume-profit analysis?

A: Cost Volume Profit analysis means the breakeven analysis which generally used to determine the break…

Q: theories of profit

A: The profit is the key incentive for a firm to operative business . According to each theory of the…

Q: What is the reason that makes net profit margin increases and decreases?

A: What is the reason that makes net profit margin increases and decreases?

Q: What is net profit margin?

A: The margin of net profit is equal to the amount of income produced by the net sales or gains. For a…

Q: What is cost-efficiency according to profit projection?

A: Cost-effective usually means to reduce the expenses and excel in what you are doing or maintaining…

Q: Define the term Profit margins?

A: Financial Ratios: Financial ratios are the metrics used to evaluate the liquidity, capabilities,…

Q: How is cost-volume-profit analysis useful?

A:

Q: How is cost-volume-profit analysis different from profit planning?

A: Cost Volume Profit Analysis - This is an Analysis which provides the details How it will Effect the…

Q: profit margin ratio

A: Profit margin ratio = Net income * 100/Net sales

Q: 2. What is cost-volume-profit analysis and what are the important assumptions of this analysis?

A: Profit analysis entails dissecting a company's reported profit figure to determine the true extent…

Q: What is the gross profit margin? Higher ratio or lower ratio

A: Ratio analysis can be defined as the comparative analytical tool. It helps to determine the…

Q: Discuss the Cost- Volume- Profit assumptions

A: Cost-volume-profit analysis: It is also called break-even analysis which measures the impact on…

Q: What is meant by incremental revenue or incremental cos

A: Incremental Revenue Incremental Revenue means is an additional revenue earned from selling one…

Q: Define the terms market value added (MVA) and economic value added (EVA).

A: The concept of economic value added was developed by Stern Stewart & co & is also known as…

Q: Describe the use of profitability index.

A: Capital investment analysis:   Capital investment analysis is the process by which management…

Q: Find the Gross Profit

A: Direct costs are associated with the manufacturing of goods/services provided to consumers,…

Q: Explain the term Divisible Profit.

A: Common stock: Common stock is the instrument used by the company for raising funds from the general…