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Profit
Profit margin
Operating profit margin
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Created by
chet singh
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Cards (3)
What does operating profit margin show and measure ?
The
operating
profit made on
sales
revenue
measures
pricing
strategy and
operating
efficiency - gives
idea
on how much a
business
makes on each
pound
of sales
If the operating margin is increasing what does it show
The company is
making
more
profit
per
pound
of
sales
What is the formula for operating profit margin
Operating
profit / sales
revenue
x
100