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Question

What could the possible causes be for low gross profit and higher cost of sales for your specific business?

Answer

Possible reasons for the low gross profit and high cost of sales for your specific business could include increased supplier costs. Having a low gross profit margins means that your ratio percentage falls below industry standards, potentially declining compared to previous periods for your company. Essentially, you're not generating strong sales prices relative to your cost of goods sold or COGS, which represents the cost of manufacturing or acquiring products. One of the simplest factors that can lead to declining margins is increasing costs of goods sold. Over time, your suppliers naturally aim to raise their own revenues and margins. Their costs of production or supplies may increase as well. To learn more about low gross profit, please refer to brainly.com/question/28943159 #SPJ4.