A Financial Indicator Used to Compare the Change in Sales

question 313

Multiple Choice

A financial indicator used to compare the change in sales of stores that have been open for the same period of time is referred to as

• A) return on investment.
• B) percentage of markup.
• C) gross profit.
• D) sales per square foot.
• E) same-store sales growth.

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Definitions:

Value Per Share

The amount of money that would be received for each share of stock if all of a company’s assets were sold at their exact book value.

Incremental Value

The additional value created by undertaking a particular action, project, or investment, compared to not doing so.

Shares Outstanding

The total number of shares of a company that are currently owned by shareholders, including share blocks held by institutional investors and restricted shares owned by the company’s officers and insiders.

Incremental Value

The additional or extra value created by undertaking a certain action or decision, compared to doing nothing or choosing an alternative.