Suggest 3 reasons why a rise in annual sales might not result in a rise in net profit

-         higher fixed costs meaning diminished profit margin -         sales may have been “export” which means need to factor tariffs into income statement-         sales may be related to promotional campaign that yields lower profit margin

AR
Answered by Alex R. Business Studies tutor

2596 Views

See similar Business Studies A Level tutors

Related Business Studies A Level answers

All answers ▸

Describe one way that labour turnover can be reduced


What is the Ansoff Matrix


What is break even?


Explain one advantage and one disadvanatge of using temporary staff. (6 marks)


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2026 by IXL Learning