Learn about gross, operating, and net profit margins, how each is calculated, and how businesses and investors can use them ...

A multifamily home or apartment building has multiple residential units. Tenants pay rent to a landlord or owner who maintains and manages the property. An owner may earn a profit by collecting more ...

A: Profit margins measure how much money a company keeps after factoring in the cost of doing business (expenses). Since you want to remain profitable, you’ll have to pay close attention to margins ...

A profit and loss statement summarizes a business’s revenue and expenses. Learn how to use a profit and loss statement to ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Michael Boyle is an experienced financial ...

If you have $100,000 in pretax profit, that's better than running in the red – but is it good enough? That's where the pretax margin calculation comes in by transforming the dollar amount into a ...

"We lose money on each transaction, but we make it up in volume." It’s an old joke, but when it comes to restaurant food cost, it reminds us that knowing the profit margin of each menu item is ...

Ignore your financial statement, and you effectively ignore the health of your company. A good manager should be able to deftly use the gross margin to understand which areas of the company are ...

QUESTION: We plan to sell our home in early 1997. How do we calculate our home-sale profit? Since we bought our home about 19 years ago, we’ve added at least $30,000 in major improvements. How does ...

Options traders employ several trading strategies, but they all have the same objective: to make a profit. It’s possible to make money with options trading, and knowing how to calculate profitability ...

Profit is a key indicator of a company’s long-term viability and success. Understanding your small business’s profitability can help with cost-cutting, pricing, and investment decisions. Here’s ...