Gross Margin

Gross margin, abbreviated as GM, is the ratio or percentage of revenue that exceeds your business's costs of goods.

 

Gross Margin Formula

\(\large{ GM =  \frac{ R \;-\; COGS }{ R }  }\)

Symbol

\(\large{ FR }\) = improvement rate

\(\large{ COGS }\) = cost of goods sold

\(\large{ R }\) = revenue