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The Gross Profit Percentage Decreased from 36

Question 69

Multiple Choice

The gross profit percentage decreased from 36.5% in 2019 to 24.8% in 2020. What is the trend in this change?


A) This increase represents an upward, or favorable, trend.
B) This increase represents a downward, or negative, trend.
C) The answer depends upon whether net sales increased or decreased during the period.
D) The trend cannot be determined unless the dollar amount of the change is also know.

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