Margin

From Pricing Wiki
Revision as of 12:01, 10 January 2013 by Clement Chatelet (talk | contribs) (Removed protection from "Margin")
(diff) ← Older revision | Latest revision (diff) | Newer revision → (diff)
Jump to: navigation, search

The margin represents the sums of money left after subtracting costs.

There are different types of margin but you could divide them into 2 main types:

  1. Gross margin
  2. Net margin

Gross margin

Gross margin = Revenue - Direct costs

Net margin

Net margin = Revenue - (Direct costs + Indirect costs)