I love your videos, they are so clear, well explained and well designed. I can guarantee you that if I had to learn these concepts just from books - it wouldn't sink in! Thank you!!!!
Wonderful to hear that, Clara!!!! Please subscribe, and share the channel with friends and colleagues. Let me know if there are any topics that you think I should add a video on.
Will you tell me that you have a video on Bad and Doubtful Debts? Bank Reconciliation? If yes, then tell me the name of Playlist kindly I can't find it there are so much Playlists in your channel and I wanna learn that topics asap. Thanks 😊
Hello! I do have a video on bad debt accounting (as well as related topics like DSO) in this playlist: ruclips.net/video/q7Whr_A4drE/видео.html I haven't covered bank reconciliation in any video yet, but there are plenty good quality finance channels that have!
What if a company has two types of revenue (example: services in general and resale of hardware). I cannot simply divide cogs by total revenue, right? I would have to divide only whats related to resale/cogs
Yep! Facebook at 81% Gross Margin, 38% Operating Margin, and 34% ROS, in 2020. By comparison, software company Adobe made 87% Gross Margin in 2020 (higher than Facebook), and 33% Operating Margin (lower than Facebook).....
@@videospride8439 You're welcome! I find the "P&L footprint" of companies fascinating, and have made a video comparing GM% and OM% of 4 very different types of company: ruclips.net/video/VCMJzG1AaXA/видео.html
@@sik2185 That depends on the VAT rate. If that is 20% for example, then you would sell ex VAT for 1000 GBP. That would be 30% gross profit (300/1000).
Enjoyed this video? Then please subscribe to the channel, and watch the video on Cost Of Goods Sold next: ruclips.net/video/jEUnCe_9I-s/видео.html
I love your videos, they are so clear, well explained and well designed. I can guarantee you that if I had to learn these concepts just from books - it wouldn't sink in! Thank you!!!!
Wonderful to hear that, Clara!!!! Please subscribe, and share the channel with friends and colleagues. Let me know if there are any topics that you think I should add a video on.
Man, you always surprises me with the unexpected.
Haha, happy to hear that! :-)
Wow....your explanation has really helped me alot... Thank you sir.
You are most welcome, Rahab! Thank you for watching and commenting.
Thank you, so much! 🙏🏼
Any time! 😊 Happy to help!
Kudos man!
Happy to help!!!
Wow 🤩 i like the small facts you share
You're welcome! It's as much about how to define and calculate things, as it as about what the outcome of your calculation means...... 😎
Will you tell me that you have a video on Bad and Doubtful Debts? Bank Reconciliation? If yes, then tell me the name of Playlist kindly I can't find it there are so much Playlists in your channel and I wanna learn that topics asap. Thanks 😊
Hello! I do have a video on bad debt accounting (as well as related topics like DSO) in this playlist: ruclips.net/video/q7Whr_A4drE/видео.html I haven't covered bank reconciliation in any video yet, but there are plenty good quality finance channels that have!
@@TheFinanceStoryteller OK I got it. Thanks a lot ✨♥️
What if a company has two types of revenue (example: services in general and resale of hardware). I cannot simply divide cogs by total revenue, right? I would have to divide only whats related to resale/cogs
Correct. Try to account for the COGS for each "business unit" separately, then calculate gross profit amount and divide by revenue amount.
Gross profit = revenue - cost of goods sold
Correct! Or if you are selling services, then it is revenue minus cost of services sold.
@@TheFinanceStoryteller i was just taking notes
In a period, sales are $140,000, purchases $75,000 and other expenses $25,000. What is the figure gross profit for the year?
That sounds like you are posting your homework question for me to solve.
@@TheFinanceStoryteller Yea, u got it right🙃
Hey sir do you know Equity corporation group
Nope, have not heard of them.
Wtf 81% gross profit margins for tech company. I never knewed it.
Yep! Facebook at 81% Gross Margin, 38% Operating Margin, and 34% ROS, in 2020. By comparison, software company Adobe made 87% Gross Margin in 2020 (higher than Facebook), and 33% Operating Margin (lower than Facebook).....
@@TheFinanceStoryteller thanx for telling
@@videospride8439 You're welcome! I find the "P&L footprint" of companies fascinating, and have made a video comparing GM% and OM% of 4 very different types of company: ruclips.net/video/VCMJzG1AaXA/видео.html
Finance story teller do you have email?
Yes, see the "About" tab on my channel page.
THE COST ARE VAT INCLUDED? THE SALES ARE VAT INCLUDED? NOBODY CANT EXPLAIN
Both excluding VAT, assuming the business is VAT registered.
@@TheFinanceStoryteller I buy wine for £700 ex VAT and I sell for £1200 Inc Vat. So how much is the gross profit?
@@sik2185 That depends on the VAT rate. If that is 20% for example, then you would sell ex VAT for 1000 GBP. That would be 30% gross profit (300/1000).
@@TheFinanceStoryteller ok that's fine. But the important I want to know if gross profit has not VAT included
@@sik2185 Excluded. Use the 700 GBP and 1000 GBP in your example.