Which of the Following Statements Is NOT True

Which of the following statements is NOT true?

A) Companies where product costs represent a high percentage of total costs would be expected to have a low gross profit percentage.
B) It is appropriate to compare a company's current financial ratio with the same financial ratio for (1) that company in prior years and/or (2) the ratio for the industry in which the company operates.
C) Return on sales ratios are useful in choosing a pricing strategy for a company's products.
D) Profitability evaluation ratios have a higher power than liquidity ratios for predicting a company's liquidity.
E) Return on assets equals net income divided by average total assets.