Which of the following is true about gross profit (gross margin)?
A)It is net sales minus operating expenses.
B)It is net sales minus cost of goods sold.
C)It is the same as income from continuing operations.
D)It is net sales minus cost of goods sold and operating expenses.

Question

Quizplus · Accepted Answer

Gross profit (gross margin) is the difference between net sales and cost of goods sold. It does not include operating expenses or income from continuing operations.

Which of the Following Is True About Gross Profit (Gross