Foundations of Financial Management
Foundations of Financial Management
16th Edition
ISBN: 9781259277160
Author: Stanley B. Block, Geoffrey A. Hirt, Bartley Danielsen
Publisher: McGraw-Hill Education
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Chapter 3, Problem 4P
Summary Introduction

To calculate: The profit margin of Billy’s Crystal Stores Inc.

Introduction:

Profit Margin:

Also called return on sales, profit margin is a ratio that helps determine the profit that a firm is able to generate through sales. It can be computed by dividing the firm’s net income by its net sales.

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Foundations of Financial Management

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