Maya recorded annual revenue of $100\,000$. In year $1$, her gross margin stood at $45\%$ and her profit margin stood at $5\%$. In year $2$, her gross margin was $40\%$ and her profit margin was $3\%$. What change occurred to Maya’s cost of sales and expenses in year $2$?
- Acost of sales decreased; expenses decreased
- Bcost of sales decreased; expenses increased
- Ccost of sales increased; expenses decreased
- Dcost of sales increased; expenses increased