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BUSINESS BU101 Which of the following statements is not correct

Author:
January 1st, 2018

Which of the following statements is not correct?a. The gross profit percentage is calculated by dividing the gross profit for the year by the net sales for the year.b. The average inventory is calculated by adding the beginning inventory to the ending inventory and dividing the sum by 2.c. A current ratio of 3.5 to 1 means that a firm has $3.50 in current liabilities for every $1 of current assets.d. Working capital is the difference between total current assets and total current liabilities.

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