--%>
Assignment Help - homework help

Causes of decreasing of Gross profit margin

What are the various causes of decreasing of Gross profit margin?

E

Expert

Verified

Causes of decreasing of Gross profit margin:
There are several reasons of decreasing gross profit margin of any company. Some of them, are illustrated below:

A) Raise the cost of raw material.
B) High labor turnover ratio.
C) Adverse worker’s compensation trouble.
D) Raise the rate of direct expenditures.
E) Reducing the sale prices due to tough competition.
F) Reducing the quantity of sale.

   Related Questions in Financial Accounting

  • Q : Computing the credit rating List some

    List some of the factors does Standard & Poor’s analyzes in computing the credit rating it assigns a sovereign government?

    		•
  • Q : Commercial bank problems Select the

    Select the right answer of the question. Assume that, for every 1-percentage point decline of the discount rate, commercial banks collectively borrow an additional $2 billion from Federal Reserve banks. Also suppose that reserve ratio is 20 percent. If the Fed incre

    		•
  • Q : Essay topics related to Religion I have

    I have some problem related to Essay topics which are related to Religion which are illustrated below: Topic A:What are the qualities of the ‘perfect&rsq

    		•
  • Q : Characteristics of Dual currency bonds

    State the characteristics of the Dual currency bonds market instrument.

    		•
  • Q : Universities Essay topics I have a

    I have a problem with the following Essay topics illustrated below: Topic A:What is the ultimate goal of yoga practice according to Patanjali, and how do

    		•
  • Q : Salary outstanding account What type of

    What type of Account is Salary outstanding? What do you think, it is real or personnel or the nominal account?

    		•
  • Q : French Association of Private Companies

    In the year 1995, working group of the French chief executive officers was formed by the Confederation of French Industry (CNPF) and the French Association of Private Companies (AFEP) for studying the structure of the French corporate governance. Group has reported th

    		•
  • Q : State Net Profit State Net Profit in

    State Net Profit in brief?

    		•
  • Q : Discrimination to women and minority

    Most of the organizations have established policies to remedy discrimination whenever hiring women and minorities. Discuss whether you feel that affirmative action programs, reverse discrimination, and criteria of comparable worth are suitable forms of remedy. You mus

    		•
  • Q : Advanced Accounting-Consolidated

    I have worked the problem. I need to know if it is correct. If not, what I'm missing.

    		•