The gross margin ratio: Is a measure of liquidity and should exceed 2.0 to be acceptable. Indicates

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The gross margin ratio:

Is a measure of liquidity and should exceed 2.0 to be acceptable.

Indicates the percent of net sales remaining after covering the cost of the goods sold.

Is also called the profit margin.

Should be greater than 1 for merchandising companies.

Is also called the net profit ratio

Related Book For answer-question

Fundamental Accounting Principles

ISBN: 978-1259916960

24th edition

Authors: John J Wild, Ken Shaw

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Posted Date: Feb 12, 2024 12:11 AM

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The gross margin ratio: Is a measure of liquidity and should exceed 2.0 to be acceptable. Indicates

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