> > >

Financial Reporting MCQs

A firm with a low profit margin indicates __________________?

a higher risk that a decline in sales will erase profits and result in net loss

a higher risk that an increase in sales will erase profits and result in net loss

a lower risk that a decline in sales will erase profits and result in net loss

a lower risk that an increase in sales will erase profits and result in net loss

Answer

Correct Answer: a higher risk that a decline in sales will erase profits and result in net loss

Explanation:

Note: This Question is unanswered, help us to find answer for this one

Financial Reporting Skill Assessment

Your Skill Level: Poor

Retake Quizzes to improve it