Answer:
B. as they will have the same common business activity to their competitors
Explanation:
Gross Profit Margin = (Revenue – Cost of Goods Sold) / Revenue*100%
Net Profit Margin = PAT / Revenue * 100%
The EBITDA is calculated by adding back interest expense, taxes, depreciation & amortization expense to net profit or PAT. Then, the EBITDA margin is calculated by dividing the EBITDA by the sales revenue and is expressed in terms of percentage.
