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Margin Analysis: $500 Cost vs $750 Sale

Gross Profit Margin

33.3%
Net Profit: $250

Margin vs Markup

While often confused, Margin and Markup are different:

Margin: 33.3%

Markup: 50.0%

Margin is profit relative to revenue, while Markup is profit relative to cost.

Financial Insight

Gross Profit:

$250

Revenue Percentage:

100%

A margin of 33.3% means for every dollar of revenue, you keep $0.33 as profit.

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