Editing Gross margin (section)

{{Short description|Gross profit as a percentage}}
[[File:Markup vs. Gross Margin (by Adrián Chiogna)..jpg|alt=Markup vs. Gross Margin (by Adrián Chiogna)|thumb|Markup vs. Gross Margin (by Adrián Chiogna)]]
'''Gross margin''', or '''gross profit margin''',  is the difference between [[net revenue|revenue]] and [[cost of goods sold]] (COGS), divided by revenue. Gross margin is expressed as a [[percentage]]. Generally, it is calculated as the selling price of an item, less the [[cost of goods sold]] (e.g., production or acquisition costs, not including indirect fixed costs like office expenses, rent, or administrative costs), then divided by the same selling price. "Gross margin" is often used interchangeably with "gross profit", however, the terms are different: "gross ''profit''" is technically an absolute monetary amount, and "gross ''margin''" is technically a percentage or ratio. 

Gross margin is a kind of [[profit margin]], specifically a form of profit divided by net revenue, e.g., gross (profit) margin, [[operating_margin|operating (profit) margin]], [[net_margin|net (profit) margin]], etc.