Either method of calculation delivers the operating income figure that is divided by revenue to bring in the operating margin. The difference between the two is the approach on profit: Operating ...

Gross profit margin is the difference between revenue ... Interest includes all interest payable for debts, both short-term and long-term. Taxes includes all taxes on the business.

Here are the variables needed to compute a break-even sales analysis: Gross profit margin Operating ... current maturities of long-term debt. The break-even gross margin needed would be calculated ...