What Is a Percentage Profit?
The rate of profit is the ratio of surplus value to the total capital paid in advance. The rate of profit is a conversion of the rate of surplus value. It is another ratio calculated by different methods of the same amount of surplus value. For example, if p` is the profit rate and C is the total prepaid capital (c + v), then the profit rate is p` = m / C = m / (c + v). The profit rate is a relative indicator of the profit level of a company over a period of time. The profit margin indicator can not only assess the completion of the enterprise profit plan, but also compare the management level of different enterprises and different periods to improve economic efficiency. Cost profit margin = profit ÷ cost × 100%, sales profit margin = profit ÷ sales × 100%.
Profit margin
- Profit rate
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- Profit margin
- It can be understood from this that, although the profit rate is gradually decreasing, this does not mean that capitalists are getting less and less profit, let alone that the situation of workers can be improved. This is by no means the case. It is precisely because of the law of declining profitability that the capital's exploitation of wage labor is increasingly strengthened, and the antagonistic contradictions inherent in capitalist society are becoming increasingly acute.