Gross margin is money left after subtracting the cost of the goods sold (COGS) from the net sales. Knowing these figures helps you to set prices for goods and work out your sales targets.
There are 2 margins that you need to consider when monitoring the profitability of your business: Calculating your price of goods to earn a profit Compare the figures in the template with those listed in the examples that follow on this page.
The template contains example figures for a business called Joe's Tyres.
