Calculate the gross profit margin needed to run your business. Some business owners will use an anticipated gross profit margin to help them price their products.

Gross profit margin is calculated by subtracting cost of goods sold (COGS) from total revenue and dividing that number by total revenue. The top number in the

Definition of gross profit margin: What remains from sales after a company pays out the cost of goods sold. To obtain gross profit margin, divide gross

## Definition of gross profit: Calculated as sales minus all costs directly related to those sales. These costs can include manufacturing expenses, raw

A company’s total sales revenue minus its cost of goods sold, divided by the total sales revenue, expressed as a percentage. The gross margin represents the percent

The Gross Profit Margin Calculator will instantly calculate the gross profit margin of any company if you simply enter in the company’s sales and the company’s cost

How to Calculate Gross Profit Margin. Gross profit is a fairly simple comparison of the cost of the goods your company sells to the income derived from those goods.

A high gross profit margin is one of the best indicators that a company is in good financial health. It is the ratio of gross profit in a given period to revenue, and

Reasons for Decreasing the Gross Profit Margin and Increasing the Operating Profit Margin by Amanda McMullen