What Ratio Would a Retailer Utilize to Best Compare the Performance

question 81

Multiple Choice

What ratio would a retailer utilize to best compare the performance of cashmere sweaters to cotton sweaters?

• A)cost of goods sold percent
• B)gross margin percent
• C)operating expense percent
• D)fixed expense percent
• E)variable expense percent

---

Definitions:

Flood Insurance

A specific insurance coverage against property loss from flooding, typically required for buildings in designated flood-prone zones.

Pooling Of Risk

The practice of spreading financial risks among a large number of participants, thereby minimizing the overall impact to any single participant.

Diversification

The strategy of investing in a variety of securities in order to lower the risk involved with putting money into few investments.

Flood Insurance Premiums

The payments made periodically to an insurance company in exchange for coverage against loss or damage caused by flooding.