calculating gross profit margin percentage
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calculating gross profit margin percentage

The conversion of commodity value into cost price + profit (k+p) includes the possibility of deviation from the residual value. Because profits for more than the balance of cost price, and the cost price is less than the goods value, it provides the individual capitalists in cost price above and below the value of the possibility of selling goods, so that to achieve the profit with the goods actually contains surplus value does not agree in number. The capitalist makes use of the difference between the value of the commodity and the cost price, as a driving force in the market competition. As the competition between different production department and the free flow of capital, make different special margin balance into average profit margins or average profit margins, so that the profits further into average profit, realize the amount of capital to achieve the same amount of profit. In the usual case, the average profit and the surplus value are inconsistent in quantity. The average profit is proportionately proportional to the total amount of capital in advance and not the amount of live labor that is governed by individual capital. This and make an objective truth, essentially profits is the product of capital, it is nothing to do with labor, in this way, capital on the relationship between the wage labor to make money and to be make, will be further. When the UK government launched its Decarbonisation and energy efficiency roadmap 2050 project – working with the UK’s eight most energy intensive manufacturing industries, including glass – British Glass saw an opportunity to develop a new type of relationship with policy makers. From the total formula of capital, G- w-g, the surplus value is created in the process of direct production, which is also realized in the process of circulation. So, it seems to capitalist surplus value is the proliferation of all capital in advance, because (1) as for the cost of capital, in order to produce goods, he not only to advance capital to buy the Labour force, but also bought consumed in the process of production of a variety of means of production, these fees by capital purchase price as a factor of production to join the formation of the cost price; (2) in terms of the capital, capital purchased in advance of production and labor under the direction and supervision of the capitalists, in the process of production, play the function of the production of surplus value, not only the cost of capital is involved in the formation of the surplus value, and all the upfront capital as the material factors of production (including those not yet take fixed capital), in the whole process of production, to participate in the formation process of the surplus value, therefore, all the capital should be paid in advance. The residual value is not only the increase of the capital, but also the total capital increase. These are all distorted surface phenomena. In fact, the value of proliferation is just hired laborers in the process of production created the new value of the cost of living, the balance after deduct the labor price (wages), as the proliferation of alterable capital or hire workers free of charge for the rest of the product of Labour, is surplus value. The surplus value, as a product of the concept of total prepaid capital, is the transformation form of profit. Marvin Loh, senior fixed income strategist at BNY Mellon, Followed by Edwards and bear published in his 1961 book "the theory of corporate earnings and measurement of the current operating profit is defined as the sales revenue more than the amount of current production and cost of sales, which can realize the cost savings is in this issue of asset price increases, which can realize the history of the cost savings are the pin commodity costs and the difference between the current purchase price; The realized capital gains are the amount of sales revenue greater than the historical cost when dealing with long-term assets. They argue that "these incremental sums provide investors with a reasonable starting point for measuring the scale of relative affluence and a detailed analysis of the company's operating results and comparable financial conditions". They stress that any full income analysis should take into account both realized and unrealized benefits and classify them by source. When are advantageous to occur, such as no record, will not only lead to current income can't reflect, but also can lead to later to sell assets to income and related costs to wrong ratio; Operating earnings and, on the other hand, the production gains is usually produced by different management decisions, and adopted different circulation form, therefore, make the same comment on both, will weaken the role of the income statement.