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Financial Performance Overview
Profitability
Profit
Key Indicators
Analyzing Financial Data
Business Metrics for Assessing Operations
Business Performance Metrics for Profitability Evaluation
Financial Performance Overview 
Gross Profit Margin Measures the percentage of revenue that exceeds the cost of goods sold (
COGS)
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Profitability Gross Profit Margin Measures the percentage of revenue that exceeds the cost of goods sold (
COGS)
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Profit The main types of profit include: Gross Profit: The difference between revenue and the cost of goods sold (
COGS)
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Key Indicators Gross Profit Margin Measures the percentage of revenue that exceeds the cost of goods sold (
COGS)
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Analyzing Financial Data Formula Gross Profit Margin Measures the percentage of revenue that exceeds the cost of goods sold (
COGS)
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Business Metrics for Assessing Operations Some common KPIs used to assess operations include: Revenue growth Cost of goods sold (
COGS) Inventory turnover Customer satisfaction Employee productivity Operational Efficiency Metrics Operational efficiency metrics focus on how well a business is utilizing its resources to achieve
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Business Performance Metrics for Profitability Evaluation Some key cost metrics include: Cost of Goods Sold (
COGS) Operating Expenses Cost per Acquisition (CPA) Cost Savings Profitability Metrics Profitability metrics focus on the bottom line and measure the overall financial performance of a business
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Metrics for Business Success from sales Profit margin Percentage of revenue that represents profit Cost of goods sold (
COGS) Direct costs associated with producing goods or services Operating expenses Costs incurred in the day-to-day operations of the business By
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Business Outcomes Cost of Goods Sold (
COGS) Total cost of producing goods or services sold by the business
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Key Business Metrics for Profitability Evaluation Some important cost metrics include: Cost of Goods Sold (
COGS): The direct costs associated with producing goods or services
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