The business clarity series · Video 09
Busy Doesn't Always Mean Profitable
Two products each sell for one hundred dollars. Which one contributes more toward running your business?
0:36 · English narration · Captions included in the video
Full transcript
Two products each sell for one hundred dollars. Which one contributes more toward running your business?
In this fictional example, product A costs sixty dollars. Product B costs eighty five dollars.
Product A leaves forty dollars of gross profit. Product B leaves fifteen. Both still need to cover overhead and other expenses.
Look at pricing, discounts, returns, and freight, as well as sales volume. Busy does not always mean profitable.
Use the free profit margin calculator and explore business reporting at YourAI Ledger dot com.
Illustrated educational overview. Examples and amounts are fictional where shown. Confirm accounting and tax decisions with a qualified professional.