Question

How to calculate profit margin in trading?

Answer 1

find out your COGS (cost of goods sold). ...
find our your revenue (how much you sell these goods for, for example $50 ).
calculate the gross profit by subtracting costs from revenue. ...
divide gross profit by revenue: $20 / $50 = 0.4 .
express it as percentages: 0.4 * 100 = 40% .
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