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Gross Profit Ratio for a firm remains same but the Net Profit Ratio is decreasing. The reason for such behavior could be:

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Gross Profit Ratio for a firm remains same but the Net Profit Ratio is decreasing. The reason for such behavior could be: Answer: If Increase in Expense

If a firm's Gross Profit Ratio remains the same but its Net Profit Ratio decreases, the most likely reason is an increase in operating or other expenses (like administrative, marketing, interest, or tax expenses) that are deducted after the Gross Profit calculation but before Net Profit.

Question context

This question is part of 🌍 Current Affairs within the broader 🌐 Current Affairs & GK subject and appears in the SPSC – Sindh Public Service Commission preparation collection. Reviewing the answer together with nearby questions helps reinforce the underlying concept and identify how it may appear in competitive exams.