Multiple Choice $1$ point

Consider the Horizontal and Vertical Analysis for Moorhouse Inc. Net Sales increased substantially in $2023$ compared to $2022.$ However, the Analysis declined in $2023$ compared to $2022.$ What answer best explains what may have caused this to occur?

The company's Cost of Goods Sold as a percentage of Sales decreased in $2023$ compared to $2022.$ It appears that Moorhouse discounte

Moorhouse's Cost of Goods sold decreased in $2023$ when compared to $2022$ and that trend may indicate a supplier problem.

The company experienced a lower amount of Sales Returns in $2023$ and that explains the decrease in Gross Profit $\%.$

The company's Cost of Goods Sold as a percentage of Sales increased in $2023$ compared to $2022$ possibly indicating that Moorhouse's sur prices for inventory that Moorhouse purchased in $2023.$