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vocabulary term definition formula profit margin shows the of revenue t…

Question

vocabulary term definition formula
profit margin shows the of revenue that becomes profit, highlighting the businesss efficiency.
slide 26
$0.83 net profit per unit ÷ $5 selling price per unit =
vocabulary term definition formula
return on investment measures how efficiency an investment generates profit to its cost.
slide 27
($30,000 net profit - $7,500 investment cost ) / $7,500 investment cost = x 100 = roi
a good roi, generally 10% to 15% return on investment. an excellent roi, typically start around 20% or higher.
pricing strategy (slide 28)
pricing strategy is how a business sets to cover costs and make a profit.

Explanation:

Step1: Calculate Profit Margin

$$\frac{0.83}{5}\times100 = 16.6\%$$

Step2: Calculate Return on Investment (ROI)

First, calculate the numerator: $30000 - 7500=22500$
Then, calculate the fraction: $\frac{22500}{7500}=3$
Multiply by 100: $3\times100 = 300\%$

For the blank in the definition of Return on Investment: “relative” (since ROI measures profit relative to cost)
For the blank in Pricing strategy: “prices”

Answer:

Profit Margin: $16.6\%$; Return on Investment: $300\%$; ROI definition blank: “relative”; Pricing strategy blank: “prices”