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Margin refers to the difference between the selling price of a product and its cost, often expressed as a percentage of the selling price. It represents the profitability of a product or service and is crucial for businesses to evaluate their financial health. Higher margins indicate more profit per sale, while lower margins may suggest competitive pricing or higher costs. In finance, margin can also refer to the amount of collateral required to open and maintain a leveraged trading position.

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What is the difference between Intake Margin and Scan Margin?

Intake Margin refers to the difference between the revenue generated from a product or service and the costs associated with acquiring it, focusing on the initial phase of a business transaction. In contrast, Scan Margin typically relates to the profitability derived from sales after considering various operational costs, including marketing and distribution, often evaluated during the sales process. Essentially, Intake Margin assesses the cost-effectiveness of acquiring products, while Scan Margin evaluates the overall profitability of sales transactions.


What is a creative margin?

A margin that is creative.


What is the difference between Contribution Margin per unit and contribution margin ratio?

Contribution margin ratio is overall total contribution margin while contribution margin ration per unit is the allocation of total production contribution margin to per unit basis.


How do you calculate the average contribution margin?

Formula for calculating average Contribution margin Average contribution margin = total contribution margin / total number of units


What does the term on margin mean?

The term "on margin" refers to the practice of borrowing money from a broker to purchase securities, allowing investors to buy more stock than they could with just their own funds. This involves a margin account, where the investor deposits a portion of the total investment as collateral, while the broker lends the rest. While trading on margin can amplify potential returns, it also increases risk, as losses can exceed the initial investment. If the value of the securities falls significantly, the broker may issue a margin call, requiring the investor to deposit more funds or sell assets to cover the loan.

Related Questions

How do you differentiate between the intensive and extensive margin in economics?

In economics, the intensive margin refers to changes in the quantity or quality of a single product or service, while the extensive margin refers to changes in the variety or range of products or services offered.


What is a star used in printing to refer to a margin note?

A star used in printing that refers to a margin note is called an asterisk.


What is diaphragmatic margin?

The diaphragmatic margin refers to the elevations between the diaphragm and the thoracic opening. This is commonly affected by diaphragmatic hernia in children.Ê


What is margin of error?

A margin of error refers to a small allowance for mistakes. Any errors or miscalculations in circumstances cannot exceed this tiny amount.


What is the difference between the extensive margin and intensive margin in economics, and how do they impact overall market dynamics?

The extensive margin in economics refers to the quantity of goods or services produced or consumed, while the intensive margin refers to the quality or characteristics of those goods or services. The extensive margin impacts market size and overall production levels, while the intensive margin affects product differentiation and consumer preferences. Both margins play a role in shaping market dynamics by influencing supply, demand, pricing, and competition.


What refers to how text is shifted horizontally from the margin to set apart from surrounding text?

Indent


What does margin width mean?

The margin width refers to the width of the edges of a page. Most teachers prefer these to be set to one inch, although that varies. To edit margin width in Microsoft Word, go to "File" and then "Page Setup."


What is the difference between page margin and paragraph indent?

The page margin - is the limits to the left & right that text will be printed. A paragraph indent is a margin (left and right) further from the edges of the page - usually used to emphasise a piece of text.


Which term refers to the percentage of the total price that must be paid at the time of purchase of a stock?

margin requirement.


In Microsoft office 2007 The term margin refers to the area between the vertical arrows on the scroll bar?

False


What is a baked margin?

A baked margin refers to a financial margin requirement that a trader must fulfill by depositing additional funds into their account to cover potential losses on open positions. The margin is "baked in" to the system to ensure that traders have enough funds to honor their obligations.


What is the continental margin margin?

the margin of the continental