Gross margin


 

Home
Site Map
Add Term
Search
About Us
Contributors

Gross margin

The difference between the selling price of an item and the purchase or manufacturing cost, expressed as a percentage of the selling price.For example, if it costs a company £6 to manufacture an item and the selling price is £10, the gross margin is:(£10 - £6) / £10 x 100 = 40%When looking at a company's Report and Accounts, the gross margin of the business as a whole is its turnover less the cost of sales, divided by the turnover, multiplied by 100.For example: (£2,000,000 - £1,200,000) / £2,000,000 x 100 = 40%



Similar Matches

Value marginal product

Value marginal product

Marginal value product.


Profit margin

Profit margin

Indicator of profitability. The ratio of earnings available to stockholders to net sales. Determined by dividing net income by revenue for the same 12-month period. Result is shown as a percentage. Also known as net profit margin.


Marginal efficiency of capital

Marginal efficiency of capital

The percentage yield earned on an additional unit of capital.


OTC margin stock

OTC margin stock

Shares traded over-the-counter that can be used as margin securities under Regulation T.


Undermargined account

Undermargined account

A margin account that no longer meets minimum maintenance requirements, requiring a margin call on the investor.


Further Suggestions

Maintenance margin
Margin
Marginal cost
Marginal propensity to consume
margin account
Marginal propensity
Unmargined account
Marginal utility
Marginal propensity to import
Marginal
Margin account (stocks)
operating margin
Marginal tax rate
marginal tax rate
Marginal value product
Operating profit margin
Margin requirement (options)
Effective margin (EM)
Dumping margin
Original margin
Marginal propensity to save
Marginal revenue product
Marginal product
Margin
Contribution margin


 
All rights Reserved. Do not copy without permission.