Profit margin is calculated by dividing
A)profit by gross profit.
B)profit by sales.
C)profit by net sales.
D)sales by profit.

Question

Quizplus · Accepted Answer

Profit margin is calculated by dividing the profit by net sales, which gives the percentage of profit earned on each dollar of sales after deducting all expenses. This is a common measure of profitability used by businesses to evaluate their financial performance.

Profit Margin Is Calculated by Dividing