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-   -   Profit Margin (https://www.askmehelpdesk.com/showthread.php?t=500870)

  • Aug 23, 2010, 01:35 AM
    egnellie
    Profit Margin
    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
  • Aug 23, 2010, 02:46 AM
    morgaine300

    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.

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