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margin of profit

 

Definitions from WordNet

Noun margin of profit has 1 sense
  1. margin of profit, profit margin, gross margin - the ratio gross profits divided by net sales
    --1 is a kind of ratio

Definitions from the Web

Margin of Profit

Definition: The difference between the cost of producing or acquiring a product and the price at which it is sold, which represents the profit earned.

Sense 1: In business, the margin of profit refers to the percentage or amount of profit gained from the sale of goods or services compared to the cost of producing or acquiring them.

Example: The company's margin of profit has increased by 10% this quarter due to cost-cutting measures.

Sense 2: In finance, the margin of profit indicates the return on investment (ROI) attained by an investor compared to the amount invested.

Example: John achieved a margin of profit of 20% on his stock investment, resulting in significant financial gain.

Sense 3: In economics, the margin of profit refers to the excess of revenue over the cost of production, taking into account fixed and variable costs.

Example: The agricultural sector has faced challenges due to the narrowing margin of profit for farmers.

Sense 4: In retail, the margin of profit denotes the difference between the wholesale price at which items are purchased and the retail price at which they are sold.

Example: The store offers discounts to its customers while maintaining a healthy margin of profit.

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