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Which of the following statements is true?
General Journal Entries
Records of financial transactions not assigned to specific accounts in the general ledger, but recorded in a general journal.
Gross Margin
The difference between revenue and cost of goods sold divided by revenue, expressed as a percentage, indicating the financial health and efficiency of a product or business.
Gross Margin Ratio
A profitability metric that measures the difference between sales and the cost of goods sold, expressed as a percentage of sales.
Favorable Ratio
A ratio that indicates a positive outcome, often related to financial performance, such as higher revenue or lower expenses compared to previous periods.
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