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Gross Profit Ratio for a firm remains same but the Net Profit Ratio is decreasing. The reason for such behavior could be:

<p><strong>(a) Increase in Costs of Goods Sold, </strong></p> <p><strong>(b)If Increase in Expense,</strong></p> <p><strong>(c) Increase in Dividend,</strong></p> <p><strong>(d)Decrease in Sales.</strong></p>

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تم إضافة السؤال من قبل VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.
تاريخ النشر: 2014/09/20
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Answer B is correct

manaf almas
من قبل manaf almas , Auditor , DAR AL NUZUM PUBLIC ACCOUNTANTS

B)INCREASE IN EXPENSE

Subash Thomas
من قبل Subash Thomas , Manager- Internal Audit. , Suhail Bahwan Group Holding LLC

If the sales remain constant, option B, increase in expenses is correct. If expenses remain constant, then option D is correct.

FITAH MOHAMED
من قبل FITAH MOHAMED , Financial Manager , FUEL AND ENERGY CO for transportion petroleum materials

ANSWER B  

Md. Shahrier Aswad
من قبل Md. Shahrier Aswad , Accounts Officer, Finance & Accounts Department , Center for the Rehabilitaion of the Paralysed (CRP)

Answer should be B, if Sales is constant.

Raed Jaabo CPA, PhD
من قبل Raed Jaabo CPA, PhD , CEO , professionals

B

MOHAMMAD EBRAHIM Hossain
من قبل MOHAMMAD EBRAHIM Hossain , Lecturer , Shahid Mashiur Rahman Degree college, Jhikargacha Jessore

B is correct answer

georgei assi
من قبل georgei assi , مدير حسابات , المجموعة السورية

 The answerd Decrease in Sales 

Anayatullah Tahir
من قبل Anayatullah Tahir , Finance Manager , Etqan Projects

Option B is correct.

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b) If  Increase  in  Expense,

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