How we worked it out
Updated as you change the numbers.
- Gross = revenue − COGS. Operating = gross − operating expenses. Net = operating − interest − tax.
Method and assumptions
The 21% default is the US federal corporate rate; pass-through businesses pay tax at the owners’ rates instead.
Questions
What is the net margin on $500,000 revenue, $280,000 COGS, $140,000 expenses and $8,000 interest?
About 11.4% ($56,880 after 21% tax).
Sources
Method and figures checked on . Every worked answer on this page is covered by an automated test. Found a mistake? Tell us.