Analysis Method Definition: The 3 methods that are used ...
The formula looks like this: Gross margin / Selling price = gross margin percentage. In the lamp example dividing $39.95 (gross margin) by $59.95 (selling price) you have a gross margin percentage of 67%. In the case of the consultant above, because there is no cost of goods sold (COGS), the consultant has a 100% gross margin percentage. ................
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