Using percentages incorrectly
Discussion
((Sales price - cost price)/sales price)*100.
Most people do it less tax, so the vat effect disappears.
This gives the margin contribution of that sale. Of course, your cost price can be viewed in many ways, but you could write a book about that part - the most suitable way to look at cost price changes massively depending on the nature of the business.
Most people do it less tax, so the vat effect disappears.
This gives the margin contribution of that sale. Of course, your cost price can be viewed in many ways, but you could write a book about that part - the most suitable way to look at cost price changes massively depending on the nature of the business.
Tony2or4 said:
Some Gump said:
Sorry, profit has always, and should always be expressed as profit margin, not product mark up.
What is the formula/definition of profit margin? (I'm not a businessman type
.)Some Gump said:
((Sales price - cost price)/sales price)*100.
(Gulp) That means that TwigtheWonderkid was right all along, and I was wrong to query it.Twig - my apologies for suggesting you were wrong.
TheInternet said:
No wonder it's unavailable. With a 11100% rating, even I'm tempted to buy one .MagicMike said:
One of my pet hates is the inaccurate use of percentages by people, examples being:
1) When making a decision the term " I'm x% sure that I will or will not"
2) Or just as bad "I'm 105% sure or unsure"
How the
have they calculated it to that exact percentage?
There is actually a field of study on "subjective probability", which is the estimate based on an expert opinion.1) When making a decision the term " I'm x% sure that I will or will not"
2) Or just as bad "I'm 105% sure or unsure"
How the
have they calculated it to that exact percentage?sbird said:
For a long time it annoyed me when I heard this sort of twaddle on the news: "Interest rates have gone up 1%."
Except they haven't. They've gone up 1 percentage point. Going from 4% to 5% is a 25% increase.
Seeing as a rate is expressed in percent it's not wrong.Except they haven't. They've gone up 1 percentage point. Going from 4% to 5% is a 25% increase.
Or as Nixon used in a reelection speech, "the rate at which inflation is increasing, has decreased."
SidJames said:
I train managers how to interpret performance data, and one example I start off with is :
"If you were on £75 a day, what % pay rise would you want to be on £100 a day"
I've lost count of those that only want to be on £93.75 a day.
If people in management positions need training on how to work out things like that then God help their organisations and employees!"If you were on £75 a day, what % pay rise would you want to be on £100 a day"
I've lost count of those that only want to be on £93.75 a day.
Al U said:
This one gets used a lot by people at my work. "It's 99.9% done". Yet that last 0.01% takes way longer than 0.01% of the total time taken to do the job.
Quite normal in software development to hear people say 80% of the work takes 20% of the time. Features and time have a non-linear relationship.Gassing Station | The Lounge | Top of Page | What's New | My Stuff