The following are the income statements for Ace and Diamond Companies. AceDiamondRevenue$70,000 $76,000 Cost of goods sold 49,000 45,600 Gross margin 21,000 30,400 Operating expenses 9,500 12,500 Net income$11,500 $17,900 What are the net income percentages for Ace and Diamond, respectively?
A. 1.83% and 1.70%
B. 16.4% and 23.6%
C. 30% and 40%
D. 6.09% and 4.25%
Answer: B
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