Question

Gross profit margin ratio and gross profit ratio difference between

Answer 1

Answer:

Gross margin is the difference between revenue and cost of goods sold (COGS) divided by revenue. ... In other words, Gross Margin is a percentage value, while Gross Profit is a monetary value.

Answer 2

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The difference between Gross Profit Margin and Operating Profit Margin is that the gross profit margin accounts for only Cost of Goods sold, but the Operating Profit Margin accounts for both Cost of Goods sold and Administration/Selling expenses.