Crosswhite Corporation's sales last year were $1,270,000, its gross margin was $400,000, its net operating income was $53,769, and its net income was $26,500.The company's net profit margin percentage is closest to:

A) 31.5%
B) 3.2%
C) 4.2%
D) 2.1%

Net Profit Margin Percentage

A financial metric expressing the percentage of revenue remaining after all operating expenses, interest, taxes, and preferred stock dividends have been deducted from a company's total revenue.

Gross Margin

The difference between sales revenue and the cost of goods sold, indicating the profitability of a company's core activity.

Net Operating Income

The profit generated from a company's operational activities, excluding taxes and interest.