Which of the following statements is the most reasonable conclusion from the given information below of ABC Company? Net profit: P54,000 Gross profit margin: 45% Gross profit: P675,000 Industry average return on sales: 4.9% ABC Company's profit margin is above the industry average, which suggests it generating less income per peso of sales as A the average firm in the industry. ABC Company's profit margin is below the industry average, which suggests it generating more income per peso of sales as B the average firm in the industry. ABC Company's profit margin is below the industry average, which suggests it generating less income per peso of sales as the average firm in the industry. ABC Company's profit margin is above the industry average, which suggests it generating more income per peso of sales as D the average firm in the industry.

Which of the following statements is the most reasonable conclusion from the given information below of ABC Company? Net profit: P54,000 Gross profit margin: 45% Gross profit: P675,000 Industry average return on sales: 4.9% ABC Company's profit margin is above the industry average, which suggests it generating less income per peso of sales as A the average firm in the industry. ABC Company's profit margin is below the industry average, which suggests it generating more income per peso of sales as B the average firm in the industry. ABC Company's profit margin is below the industry average, which suggests it generating less income per peso of sales as the average firm in the industry. ABC Company's profit margin is above the industry average, which suggests it generating more income per peso of sales as D the average firm in the industry.

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter3: Evaluation Of Financial Performance

Section: Chapter Questions

Problem 13P

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