Get expert advice and community support for your questions on IDNLearn.com. Ask your questions and get detailed, reliable answers from our community of knowledgeable experts.
Sagot :
The profit margin is 16.92 percent.
Step 1
return on equity = 23.62 percent
capital intensity ratio = 1.06
equity multiplier = 1.48
Step 2
Profit margin = 23.62/[(1 / 1.06) ×1.48]
⇒ 0.1692 × 100
⇒16.92 percent
The profit margin is 16.92 percent.
How are profit margins determined?
The formula for profit margin
- Get your COGS (cost of goods sold) information.
- Find out your income (the price at which you sell these items, for instance $50).
- Subtract the cost from the income to arrive at the gross profit.
- Gross profit divided by revenue: $20 / $50 Equals 0.4 .
- Put it in percentage form: 0.4 x 100= 40%
learn more about profit margin here https://brainly.com/question/10218300
#SPJ4
Thank you for being part of this discussion. Keep exploring, asking questions, and sharing your insights with the community. Together, we can find the best solutions. Thank you for choosing IDNLearn.com for your queries. We’re here to provide accurate answers, so visit us again soon.
