Term
When the MarkUp % declines so does the
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Definition


Term
When the Gross Profit % goes down
what else usually goes down
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Definition
The Mark Up %  you are a star!!!
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I am going to throw my toys out of the cot! 


Term
If Tamati Toys has a mark up of 100%  what does this tell us?
[image] 

Definition
Tamati Toys adds 100% to the cost of the product to get the selling price. Thus if the cost was $1.50 then the selling price would be $3.00, ie the selling price is double the cost price.
[image] 


Term
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If Scrooge McDuck tells you his Gross Profit % is 40%  how much gross profit is he making on each dollar of Sales? 

Definition
Scrooge McDuck is making
[image]
40 cents gross profit in every dollar of sales that he earns. This is before all the other operating expenses are deducted and other income is added. 


Term
If Jessica's Chocolat has a Gross Profit % of 60% what does this tell us?
[image] 

Definition
That for every $1 of sales that Jessica's Chocolat makes, 60 cents of that $1.00 is the Gross Profit.
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Term
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What are the profitability percentages? 

Definition
The ...
1. Mark Up %
2. The Gross Profit %
3. Expense % to Sales
4. Net Profit %
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Term

Definition
Current Assets  Current Liabilities 


Term
What are the
two
measures of Liquidity? 

Definition
The Current Ratio
Current Assets
Current Liabilities 

