The Vertical Analysis Statement of Bateman,Inc

question 94

Multiple Choice

The vertical analysis statement of Bateman,Inc.is as shown below:

The figure 47.0% shown for gross profit in 2017 signifies that the gross profit is ________.

• A)equal to 47.0% of net income
• B)increased by 47.0% over the previous year
• C)47.0% of net sales revenue
• D)47.0% of cost of goods sold

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Definitions:

General Solicitation

The act of publicly advertising an investment opportunity to potential investors.

Business Combination

The merger or joining of two or more companies into one entity, often to expand market share or diversify offerings.

SEC

The U.S. Securities and Exchange Commission, a federal agency responsible for enforcing federal securities laws and regulating the securities industry.

Form S-3

Form S-3 is a regulatory filing used by publicly traded companies in the United States to provide updated or annual information to investors, utilized for simplified security offerings.