"Where Everyone Has an MBA"
Tel: (612) 246-4616
Tel: (612) 246-4616
DESIGNATED is something selected or named for a duty, e.g., designated receipts.
GROSS PROFIT MARGIN ON SALES (GPM) is one of the key performance indicators. The gross profit margin gives an indication on whether the average markup on goods and services is sufficient to cover expenses and make a profit. GPM shows the relationship between sales and the direct cost of products/services sold. It measures the ability of both to control costs and to pass along price increases through sales to customers. The gross profit margin should be stable over time. A persistent gradual decrease is likely to indicate that productivity needs to be increased to return profitability back to previous levels. Generally:
>40% = Indicates a sustainable competitive advantage
< 40% = Indicates competition may be eroding margins
< 20% = There is likely no sustainable competitive advantage
Formula: Gross Profit / Net Revenue
OPEN INFLATION means that prices are rising on consumer goods and services.
Enter a term, then click the entry you would like to view.