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mario_kart_rules
What is the difference between profit & profit margin?
Profit is the dollar amount you made, profit margin is the % you made.
Suppose you sold $1000 worth of stuff but it cost you $900 in all costs. Your profit is $100, you profit margin is 1-900/1000 or 10%.
ed
I think to express it correctly it's Gross Profit/Margin and Net Profit.
The first is the difference in Selling Price and Cost.
The second is the profit generated AFTER expenses are deducted from Gross Profit.
These can be expressed in dollar amounts and/or percentages.
zocko
profit is a dollar number where a profit margin is a percentage.
I bought a car for $4000 and sold it for $5000 i made a profit of $1000 and my margin was 25% of $4000 which is $1000
too_good_to_be_true
profit refers to the amount (figures) earned by the company, that is sales less all expenses.
profit margin is the % of the net profit over net sales.
Stuart F
Profit is the money made after all the costs have been deducted to provide that good or service.
Profit margin is the amount of money you will charge extra to provide that good or service.
For example if you were selling somebody an apple and it cost you 2 pence to buy that apple, if you say you are going to have a profit margin of 100% you would essentially be selling it for 4p, double what you paid for it.
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