Please Refer to the Vertical Analysis of Income Statement Data

question 133

Multiple Choice

Please refer to the vertical analysis of income statement data shown below: The figure 47.0% shown for Gross profit in 2014 signifies that:

• A)in 2014, gross profit is equal to 47% of net income.
• B)in 2014, gross profit is up 47% versus the previous year.
• C)in 2014, gross profit is 47% of net sales revenue.
• D)in 2014, gross profit is 47% of cost of revenues.

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Definitions:

Trademarking

The process of legally registering a brand name, logo, or slogan to protect it from being used without permission.

Comparative Analyses

The process of examining two or more items to evaluate their similarities and differences.

Sales Figures

Quantitative data representing the amount of sales a company or product has achieved in a specific time period.

Sales Representatives

Individuals who sell products or services on behalf of a company, often directly to customers.