Instructions
Complete the tables for both businesses by filling in the GPM and NPM and then answer the questions.
Gross and net profit margins
Complete the tables for both businesses by filling in the GPM and NPM and then answer the questions.
Formula Reminder
| Revenue and profit data | (£000) | ||||
|---|---|---|---|---|---|
| Daisy Garden Centre Ltd | 2011 | 2012 | 2013 | 2014 | 2015 |
| Revenue | 125 | 140 | 145 | 160 | 200 |
| Gross profit | 90 | 110 | 120 | 130 | 140 |
| Net profit | 20 | 25 | 25 | 35 | 40 |
| GPM | % |
% |
% |
% |
% |
| NPM | % |
% |
% |
% |
% |
| GPM | 72% | 78.6% | 82.7% | 81.1% | 70% |
|---|---|---|---|---|---|
| NPM | 16% | 17.8% | 17.2% | 21.8% | 20% |