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View Full Version : Analysing a companies accounts!


eve19
Jan 7, 2008, 09:33 PM
Why might profit increase at a slower rate then turnover?:confused: :confused: :confused:

tlarocca
Jan 8, 2008, 07:01 AM
why might profit increase at a slower rate then turnover?:confused: :confused: :confused:
Likely due to faster increases in other variable costs or a spike in fixed costs.

Also, under FIFO, even though your TO rate is high, you may be experiencing higher inventory costs as inventories are replaced.