Profit Margin
Profit margin is a financial metric that represents the percentage of revenue that exceeds the costs associated with producing and selling goods or services. It is calculated by dividing the net profit by the total revenue. A higher profit margin indicates that a company is able to control costs effectively and generate more profit from each sale. It is a key indicator of a company's financial health and efficiency in managing its resources.
External Links
- [BusinessEngineering.net] GTC Business Engineering | Increase Profit Margin | Alberta, Canada