Question 10.A.23: What favourable and unfavourable trends did you observe in E...

What favourable and unfavourable trends did you observe in Example 10.6?

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In terms of the favourable trends revealed, you may have considered:

  • the growth in sales
  •  the relative decline in selling expenses
  • the stable financial expenses.

In terms of the unfavourable trends, you may have noted:

  • the relative increase in cost of sales (declining gross profit margin)
  • the relative increase in administration costs.

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