What Is the Maximum Allowed Profit Margin?

Answer Profitability is the most important measure of company performance on the balance sheet. It is usually measured in terms of margin which refers to gross margin, operating margin or net income margi... Read More »

Top Q&A For: What Is the Maximum Allowed Profit Margin

What does profit margin mean?

Profit margin, or net profit margin, is one of many ways to determine a firm's profitability. Profit margin is determined by dividing net profit by revenue, and then multiplying the number by 100. ... Read More »

ROI or Profit Margin: Which Is Better?

Return on investment, or ROI, and profit margin are two of the most popular measures of financial performance for a company. One is more popular for financial analysts, the other more popular with ... Read More »

Markup Vs. Profit Margin?

The difference between gross profit margin and markup is subtle. Many business owners focus only on markup, ignoring gross profit. This can lead to problems, as a markup-focused business only consi... Read More »

How to Calculate Net Profit Margin?

Net profit margin is how much of each dollar of sales a company will keep after expenses. It compares the company's top line of the income statement to the company's bottom line of the income state... Read More »