Good Morning Every body,
In my books GP ratio is down a little bit from last year. I just want to know how I can justify this ? Mine is a manufacturing firm.
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Justify the falling of gp ratio
Replies (2)
Sunil their is no hard and fast rule for fall in GP.
please first share the real reason.
u can take increase in sale or down markets as reasons
Reasons of fall in GP ratio:
1) Sale may go down
2) purchase may go up
3)Direct exp. may increase
4)Under Valuation of closing stock
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