Are the firm’s gross and net margins increasing or decreasing?
The increase and decrease of the firm’s gross and net margin can be view in the tables below:
Year |
Net sales |
Gross profit/(loss) |
Gross margin(%) |
DECREASE / INCREASE |
2002 |
61,529 |
20,457 |
33 |
Increase |
2003 |
64,063 |
20,908 |
33 |
Increase |
2004 |
60,144 |
14,309 |
24 |
Increase |
Year |
Net sales |
Net income/(loss) |
Net margin(%) |
DECREASE / INCREASE |
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2002 |
61,529 |
(1,444) |
(2) |
Decrese |
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2003 |
64,063 |
7,310 |
11 |
Increase |
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2004 |
60,144 |
9,247 |
15 |
Increase |
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* Gross margin = gross profit/net sales*100 |
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Net margin = net income/net sales*100 |
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(Taken from
http://wps.prenhall.com/bp_laudon_mis_9/0,10571,2101577-,00.html
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