Oakley Corporation has the following comparative income statements.Which of the following statements is false with regard to this comparative data?
A)The common-size sales percent for 2014 equals 100%.
B)The common-size net income percent for 2013 equals 28.2%.
C)The common-size gross profit percent for 2014 equals (3.87)%.
D)The common-size cost of goods sold for 2013 equals 52.4%.
E)The common-size operating expenses for 2014 equals 21%.

Question

Oakley Corporation has the following comparative income statements.Which of the following statements is false with regard to this comparative data? 
A)The common-size sales percent for 2014 equals 100%. 
B)The common-size net income percent for 2013 equals 28.2%. 
C)The common-size gross profit percent for 2014 equals (3.87)%. 
D)The common-size cost of goods sold for 2013 equals 52.4%. 
E)The common-size operating expenses for 2014 equals 21%.

Quizplus · Accepted Answer

The common-size gross profit percent for 2014 cannot be negative. This indicates some error in calculation or the data provided.

Oakley Corporation Has the Following Comparative Income Statements