Log in

View Full Version : Profit Margin


egnellie
Aug 23, 2010, 01:35 AM
How do I calculate average margin provided I have the following data:

Sales(litres)
John 15 000
Mark 20 000
Peter 10 000

Target margin

John 0.5
Mark 0.2
Peter 0.3

Gross profit

John 500
Mark 600
Peter 200

morgaine300
Aug 23, 2010, 02:46 AM
Given that this is out of context, I'm not sure what they are looking for. A "target margin" doesn't mean that's the actual margin. So does that have anything to do with it? Is it a weighted average based on those percentages? I really don't know what they want.