a-companys-net-income-increased-from-300000-to-450000-how-significant-is-this-pe

Question

A company's net income increased from $300,000 to $450,000. How significant is this percentage change for the company's profitability?

Accepted Answer

Significant, as it represents a 50% increase

Answer

Insignificant, as it represents only a 20% increase

Answer

Significant, as it represents a 75% increase

Answer

Insignificant, as it represents only a 10% increase

A company's net income increased from \$300,000 to \$450,000. How significant is this percentage change for the company's profitability?