Question

Which term describes the percentage of each sales rupee that remains after a company has paid for its goods?

A Net profit margin Correct Answer Incorrect Answer
B Operating profit margin Correct Answer Incorrect Answer
C Gross profit margin Correct Answer Incorrect Answer
D Earnings available to equity shareholders Correct Answer Incorrect Answer
E Cost of goods sold margin Correct Answer Incorrect Answer

Solution

Gross profit margin establishes the relationship between the gross profit and revenue from operation of the concerned entity.

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