A comprehensive financial analysis method used to break down return on investment (ROI) into component parts: margin and turnover. This formula helps identify key drivers of a company's profitability.
In accounting and finance, 'Margin' can refer to several different concepts ranging from profit margin in sales to the difference in buy/sell prices by market makers.
The amount by which the cost of a service or product has been increased to arrive at the selling price. It is calculated by expressing the profit as a percentage of the cost of the good or service.
Markup is a critical concept in marketing and retail, signifying the determination of a retail selling price based on a percentage increase over the wholesale cost. It can also refer to instructions for typesetters in the printing industry.
