Twelve Months Ago, Genevieve's Cupcake Business Had a Net Income

question 5

Multiple Choice

Twelve months ago, Genevieve's cupcake business had a net income of $36,250 and sales of $145,000. Now that this current year is coming to an end, she's determined that her business had a net income of $33,600 and sales of $168,000 over the last twelve months. What does Genevieve's net profit margin reveal about her business?

• A) Her business is doing better this year than last; her net profit margin and sales are increasing.
• B) Her business is fine; her net profit margin has remained stable and sales are increasing.
• C) Her business is doing better this year than last; her net profit margin is decreasing.
• D) Her business is not doing as well as it did last year; her net profit margin is decreasing.

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Definitions:

Physiological Needs

Basic essential requirements for human survival, such as food, water, warmth, and rest, fundamental to Maslow's hierarchy of needs.

Esteem Needs

According to Abraham Maslow's hierarchy of needs, these are the fourth level of human needs, involving respect, self-esteem, status, recognition, and strength.

Affiliation Needs

A person's need to feel a sense of involvement and belonging within a social group.

Security Needs

A level in Maslow's hierarchy of needs, focusing on the desire for safety, stability, and protection from physical and emotional harm.