HawkÂ® High Performance Street 5.0 Rear Brake Pads Volkswagen Tiguan Comfortline / Highline / S / SE / SEL / Trendline 2011, High Performance Street 5.0 Rear Brake Pads by HawkÂ®. These revolutionary brake pads provide advanced stopping power for your vehicle without triggering your...
The profit margin ratio formula can be calculated by dividing net income by net sales. Net sales is calculated by subtracting any returns or refunds from gross sales.nalysis. The profit margin ratio directly measures what percentage of sales is made up of net income. In other words, it measures how much profits are produced at a certain level of sales. This ratio also indirectly measures how well a company manages its expenses relative to its net sales.
Simple Interest. The net profit margin formula looks at how much of a company's revenues are kept as net income. The net profit margin is generally expressed as a percentage. Both net income and revenues can be found on a company's income statement.y applying the formula, $1 million divided by $25 million would result in a net profit margin of 4%. Although the formula is simplistic, applying the concept is important in that 4% of sales will result in after tax profit. Return to Top.