Claire Boyte-White is the lead writer for NapkinFinance.com, co-author of I Am Net Worthy, and an Investopedia contributor. Claire's expertise lies in corporate finance & accounting, mutual funds, ...

The term "gross margin" describes the profit achieved on sales, expressed as a percentage of the total revenue generated by the sales. Gross margin omits incidental costs, such as operating expenses, ...

Gross margin constitutes the percent of sales that is applied to profit. As an example, if you had a 50 percent gross margin, half of the sale is profit; the other half covers the original cost of the ...

Profit margin is one of the simplest and most widely used financial ratios in corporate finance. A company’s profit is calculated at three levels on its income statement, each with corresponding ...