What Kind of Ratio Is the Net Profit Margin?

Answer The net profit margin is possibly the most critical of all business analytical ratios. Better known as "the bottom line," the net profit margin not only shows whether or not the business is making ... Read More »

Top Q&A For: What Kind of Ratio Is the Net Profit Margin

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 »

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 »

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 »

How to Determine Your Profit Margin?

Do the math to determine your profit marginEveryone knows that the size of your profit margin is important. Yet, you may still wonder, “How do you determine gross profit margin? It's easier than ... Read More »