Answer to Question #103110 in Finance for Camille Wilson

Question #103110
Why is the operating profit margin often more informative than the net profit margin?
1
Expert's answer
2020-02-17T08:46:28-0500

The operating profit margin is more informative that the net profit margin because it also accounts for operating costs. This shows the efficiency of the company and the strength of the management team in controlling costs such as salaries and rent.


Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!

Comments

No comments. Be the first!

Leave a comment

LATEST TUTORIALS
New on Blog
APPROVED BY CLIENTS