To calculate the gross profit margin, subtract the cost of goods sold (COGS) from total revenue, then divide the result by total revenue. Multiply by 100 to express the result as a percentage.

Gross Profit Percentage Ratio works out the amount of profit from the buying and selling of goods before all other expenses are deducted.

A gross margin as a percentage is calculated by multiplying (Total Revenue - Cost of Goods Sold) by Total Revenue. Gross profit margin tells you how much money a company has leftover after paying all ...

Determine your income (for example, how much you were able to sell the goods for). Subtract the costs from the revenue to determine the gross profit. 0.4 is the ratio of gross profit to revenue: ...