Cleveland's healthcare sector also includes University Hospitals of Cleveland, a renowned center for cancer treatment, MetroHealth medical center, and the insurance company Medical Mutual of Ohio. Cleveland is also noted in the fields of biotechnology and fuel cell research, led by Case Western Reserve University, the Cleveland Clinic, and University Hospitals of Cleveland.
There are several measurements of profit, including gross profit, operating profit and net profit. Gross profit is sales less the cost of goods sold. Cost of goods sold includes materials, labor and overhead. Operating profit is gross profit less sales expense, general expense and administrative expense. Net profit is operating profit less interest, taxes and other expense. Profit measurements are sometimes referred to as margins and are expressed as a percentage by dividing profit dollars by sales.
Profit margin or net profit margin is a ratio that describes how much profit a company makes for every dollar of sales. A companyâs profit margin is calculated by dividing net income by revenues. Revenues are the total sales and net income is the total sales minus costs. The profit margin of a company is expressed as a percentage, so a 15% percent profit margin translates into a $0.15 profit for every dollar of sales. A companyâs profit margin fluctuates each quarter and has a direct effect on its stock price. A companyâs market share, on the other hand, reflects the amount of products the company sold compared to the total number sold by all companies in a given market or industry.