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They are not related. Let me briefly explain: You could sell a million dollars and make zero profit. The best way for you to look at this...is that profit is different than cash.

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15y ago

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What is a net margin?

The Net Profit Margin is an Expression of the Net Profit as a percentage of the Revenue, where the Net Profit is the Revenue minus all Expenses. The Net Profit Margin can be calculated in the following ways: Net Profit Margin = Net Profit/Revenue*100 [or] Net Profit Margin = (Revenue - all Expenses)/Revenue*100


What is profit in a company?

profit in a company this is increase in revenue received by the company. profit in a company this is increase in revenue received by the company.


How do you calculate a profit margin ratio?

Profit Margin ratio is the comparison of profit as a percentage of revenue and calculated as follows Profit Margin ratio = Net Profit/Revenue


How is math used in stores?

cash register...profit...revenue cash register...profit...revenue


How do you calculate the Gross Profit Margin?

The Gross Profit Margin is an expression of the Gross Profit as a percentage of Revenue. Gross Profit Margin = Gross Profit/Revenue*100 [or] Gross Profit Margin = Revenue - (Cost of Sales)/Revenue*100 Cost of sales=it include all those expenses and income that will occur during manaufacturing and sales of goods and services


How calculate of profit margin ratio?

The profit margin ratio is calculated by dividing net profit by total revenue and then multiplying by 100 to express it as a percentage. The formula is: Profit Margin = (Net Profit / Total Revenue) × 100. Net profit is derived from total revenue minus all expenses, taxes, and costs. This ratio indicates how much profit a company makes for every dollar of revenue generated.


What is the formula to calculate profit?

A simple profit formula reconciles revenue to losses and expenses. Profit equals the total revenue subtracted by losses and expenses.


What is Customer net revenue?

Net revenue means the profit for a company. This is the profit that is left over and what the company has earned.


What are the examples of revenue reserves?

Revenue reserve is created out of revenue Profit . It is created out of Revenue Profit for exaple General Reserve, Dividend equalization reserve, Investment fluctuation reserve etc.


What is a net profit margin?

The Net Profit Margin is an Expression of the Net Profit as a percentage of the Revenue, where the Net Profit is the Revenue minus all Expenses. The Net Profit Margin can be calculated in the following ways: Net Profit Margin = Net Profit/Revenue*100 [or] Net Profit Margin = (Revenue - all Expenses)/Revenue*100


What are the key components of a profit loss statement for a small business?

A profit and loss statement for a small business typically includes revenue, expenses, gross profit, operating income, and net profit. Revenue represents the money earned from sales, while expenses are the costs incurred to generate that revenue. Gross profit is the difference between revenue and the cost of goods sold. Operating income is the profit after deducting operating expenses, and net profit is the final amount after all expenses are subtracted from revenue.


What is the meant by profit?

the term profit means the profit is made from a proportion of sales revenue.