Percent Profit Calculator

Formula

The formula to calculate the Percent Profit (PP) is:

\[ PP = \frac{TP}{TR} \times 100 \]

Where:

PP is the Percent Profit (%)
TP is the total profit ($)
TR is the total revenue ($)

What is Percent Profit?

Percent Profit (PP) is a measure of profitability, calculated by dividing the total profit by the total revenue and then multiplying by 100 to express it as a percentage. This metric helps businesses understand the efficiency of their operations and the return on their investments.

Example Calculation

Let's assume the following values:

Total Profit (TP): $500
Total Revenue (TR): $2000

Step 1: Divide the total profit by the total revenue:

\[ \frac{500}{2000} = 0.25 \]

Step 2: Multiply by 100 to express as a percentage:

\[ 0.25 \times 100 = 25\% \]

The Percent Profit (PP) is 25%.