The Gross Profit Ratio Is Computed by Dividing Net Sales

question 171

True/False

The gross profit ratio is computed by dividing net sales by gross profit.

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Definitions:

Test-Retest

A method of assessing the reliability of a test by administering the same test to the same subjects at two different points in time and comparing the scores.

Internal Consistency

A measure of the reliability of a test or scale, assessed by the degree of interrelation among items within the test.

Internal Consistency

A measure of the reliability of a psychological test or assessment, indicating how well the items on the test measure the same concept or construct.

Spearman-Brown

A formula used in psychometrics to estimate the reliability of a test, particularly in relation to the length of the test.