Brumley Tools saw revenue fall 10% last year while its operating margin rose from 20% to 24%. By what percentage did operating profit change?
- A. +10%
- B. -6%
- C. +8%Correct
- D. +20%
Takeaway. When a result is a product of drivers, convert each driver's change to a factor and multiply; adding percentages only works when the changes are small.
