Question

One way to increase gross profit on sales is to

a. decrease expenses
b. increase sales
c. decrease net income
d. increase cost of merchandise sold

Answer 1

To increase gross profit on sales, one should focus on increasing sales, which raises revenue and thus has the potential to boost gross profit.

Step-by-step explanation:

One way to increase gross profit on sales is to increase sales. Gross profit is the difference between the revenue generated from sales and the cost of goods sold. By increasing sales, the revenue increases, which can lead to a greater gross profit if the cost of goods sold remains constant or does not increase proportionately. Different strategies can be employed to increase sales, such as marketing, introducing new products, or expanding into new markets