The gross margin ratio, also known as the gross profit percentage, is a financial metric that measures the proportion of money left over from revenues after accounting for the cost of goods sold (COGS). It is a critical indicator of a company's financial health and its ability to manage production costs.
A ratio of financial performance that calculates gross profit as a percentage of sales, serving as a critical measure of trading success in retailing companies.
The amount by which the cost of a service or product has been increased to arrive at the selling price. It is calculated by expressing the profit as a percentage of the cost of the good or service.
Operating performance ratios are financial analysis tools that measure a company's ability to generate profit from its operations during an accounting period. Higher ratios indicate greater profitability.
