If Rick's Net Sales Increased from $40,000 to $80,000 and Its

question 27

Short Answer

If Rick's net sales increased from $40,000 to $80,000 and its operating expenses increased from $30,000 to $50,000, then, using vertical analysis based on net sales, what percentages would show for operating expenses for the two periods (to the nearest tenth of a percent)?

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Definitions:

Inelastic

Describes a situation where the demand or supply of a good or service is relatively unresponsive to changes in price.

Excise Tax

A tax levied on specific goods, services, or transactions, often included in the price of the product, such as alcohol, tobacco, and gasoline.

Borne

The bearing or enduring of costs, responsibilities, or consequences by an entity, often in the context of who ultimately pays for or suffers from economic decisions.

Progressive

A political and social philosophy advocating for reforms and innovations aimed at addressing inequalities and improving the welfare of the population.