Operating Profit Margin
Operating profit margin is a ratio that measures the profitability of a business. It measures how much a business makes in revenue after paying for operating and non-operating expenses.
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You can use this formula to understand a business’s operating profit margin and its profitability:
Operating profit margin = operating income/revenue X 100
This glossary provides an overview of some key legal terms for startups. It's essential to consult with a legal professional to ensure a comprehensive understanding of these terms and their implications for your specific situation.
