mark-up ratio - Hutchinson encyclopedia article about mark-up ratio Printer Friendly
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mark-up ratio

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mark-up ratio

The ratio of profit to sales value or turnover:

profit÷sales

For example, if a company made 1 million profit on 10 million sales, the mark-up ratio would be 10%. It is a measure of the profitability of a company. An increase in the mark-up ratio could indicate higher profits on a given level of sales.
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