making financial decisions Flashcards
(5 cards)
1
Q
gross profit calculation
A
sales revenue-cost of sales
2
Q
net profit calculation
A
gross profit-expenses
3
Q
gross profit margin calculation
A
gross profit/sales revenue x100
4
Q
net profit margin calculation
A
net profit/sales revenue x100
5
Q
average rate of return calculation
A
total profits/number of years
—————————————— x100
cost of investment
