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Tuesday, August 2, 2011

How to Calculate Net Profit Margin

The net profit margin (also called net profit percentage) can be calculated by dividing net profit after interests and taxes by sales revenue. The ratio is expressed in percentage terms:

Net Profit Margin = (Net profit before interest and taxation / Sales) * 100%

Learn how to calculate Net Profit Margin with the following example:

NBA plc has the following information for the year ended 31


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