Complete a margin analysis for Associated Industries and answer the questions below. Associated Industries Year Ending Year Ending Change 2016 2017 Gross Margin 43.7% 43.7% 0% Operating Margin 3.9% 3.0% (.9%) Net Margin 3.0% 2.4% (.6%) 1. What was the change to the Operating Margin and what does that indicate for the operation of the business?

Complete a margin analysis for Associated Industries and answer the questions below. Associated Industries Year Ending Year Ending Change 2016 2017 Gross Margin 43.7% 43.7% 0% Operating Margin 3.9% 3.0% (.9%) Net Margin 3.0% 2.4% (.6%) 1. What was the change to the Operating Margin and what does that indicate for the operation of the business?

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter5: Sales And Receivables

Section: Chapter Questions

Problem 96.5C

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1. The following information has been taken from the accounting records of Ahmed and Company in first and second period. Period Sales Profit2018 $ 100,000 $15,000 2019 150,000 25,000 Calculate:1) Profit volume ratio 2) Fixed cost for two periods3) Variable cost of two periods.
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