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what is formula of net profit. The net profit of a big and small company tends to have a vast difference. Net Margin Formula Net Profit Net Sales 100 Or Net Margin 30000 245000 100 1225.
The Difference Between Gross Profit Margin And Net Profit Margin Net Profit Profit Net from www.pinterest.com
Net Profit Margin Net Profit Total Revenue This is a pretty simple equation with no real hidden numbers to calculate. The net profit margin formula is calculated by dividing net income by total sales. Net ProfitNet Income Gross Profit Total Operating Expenses Interest Taxes Amortization Depreciation.
For the purpose of this ratio net profit is equal to gross profit minus operating expenses and income tax.
The figure that most comprehensively reflects a businesss profitabilityand used in publicly traded. Net Profit Net Margin Revenue 15 150 2250. Net profit ratio is a profitability ratio which is expressed as a percentage hence it is multiplied by 100. Net Income formula is used for the calculation of the net income of the Company.
