Which Ratio Measures the Portion of Net Sales That Is

question 100

Multiple Choice

Which ratio measures the portion of net sales that is gross profit?

• A) Gross margin ratio
• B) Net sales ratio
• C) Gross profit ratio
• D) Gross margin ratio and gross profit ratio
• E) All of the above

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Definitions:

Floating Rate Bond

A floating rate bond is a bond with a variable interest rate, which adjusts periodically according to a specified benchmark.

Variable Rate

An interest rate that can change over the period of a loan or mortgage, based on an underlying benchmark interest rate or index.

Coupon Payment

The interest payment made to bondholders, typically semiannually, as a return on investment.

Coupon Bond

A bond that makes regular interest payments to its holders, named after the detachable coupons once used for interest payments.