How to Determine Gross Margin?

Answer In business, it's been said, "it's not how much you make, it's how much you keep." Determining the gross margin of your business through a simple calculation will help you understand just how much ... Read More »

Top Q&A For: How to Determine Gross Margin

How to Determine Gross Margin on a Product Basis by Analyzing Financial Statements?

There are three main financial statements. They are the income statement, the balance sheet and the cash flow statement. Each provides the investor or reader with a different set of information abo... Read More »

How to Calculate a Gross Margin?

Gross margin measures how much profit a company makes as a percentage of total sales. Investors use the gross margin as one way to measure how efficiently a company runs, as a higher gross margin m... Read More »

How to Compute a Gross Margin?

Gross margin is the difference between the sale price of an item and the cost to produce it, or the cost to purchase the item as inventory. Gross margin can be represented by the dollar-amount diff... Read More »

How to Increase Gross Margin?

Gross margin is calculated by subtracting all cost of goods sold from the sales revenue of a company, then dividing the result by total sales revenue. This figure is expressed as a percentage, acco... Read More »