Tag: profit margins

Profit Margin or Gross Profit Margin is a key financial indicator used by businesses to measure profitability. It is the ratio of net profit to revenue; expressed as a percentage, it provides insights into a business’s pricing strategy, cost structure and profitability. Knowing and understanding your profit margin can help business owners make informed decisions on pricing, inventory purchasing, expenses and any other factors that affect profitability.

Income

Net Income vs Net Profit: Exploring the Differences in Forex Trading

Simon Cristian

Net Income and Net Profit are two important financial terms related to Forex. Net Income is the difference between a company’s total revenue and expenses for a given period. This includes everything from wages paid out to any other financial costs that the company may have incurred during the defined period. Net Profit, on the other hand, is the company’s income after taxes for the same period are taken into account. It is important for traders to know the difference between these two terms when it comes to trading Foreign Exchange. A trader should assess his net income/profit from a trading session in order to make strategic decisions on future trades.