What is the profit margin, and how to calculate your profit margin? 

Lesson Details:

Video Transcription: So let's figure out how to calculate the profit margin what is the profit margin well it determines the company profitability, okay so you take the net profit which from the previous lecture we know how to get and sometimes called the net income or net profit same thing those two terms are like the same and you're basically divided by the net revenue and you get a like a coefficient like a percentage and that's the when people ask you so what's your si what's your profit margin that term then you give them that whatever comes out of this little formula net profit divided by revenue and that's pretty much it see pretty simple.