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1. At XYZ Company, the ratio sales to gross profit is 4:3 and the ratio of gross profit to net profit is 3:1, what is the ratio of net profits to sales?

  • A. 1:4
  • B. 1:4
  • C. 1:4
  • D. 1:4

Answer: Option A

Explanation:

Sales : gross profit = 4 : 3

gross profit : net profit = 3 : 1

sales : gross : net = 4 : 3 : 1

net : sales = 1 : 4


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