What Is Gross Profit Margin? Gross profit margin is a metric analysts use to assess a company’s financial health by calculating the amount of money left over from product sales after subtracting the cost of goods sold (COGS). Sometimes referred to as the gross margin ratio, gross profit margin is frequently expressed as a percentage
What Is Gross Acres? In finance, the term “gross acres” refers to the amount of leased real estate held by a resource-extraction company. Gross acres goes hand in hand with “net acres,” which is sometimes referred to as “net mineral acres.” Both are significant factors in the business of oil and gas companies. Key Takeaways
What Is Gross Cash Recovery (GCR)? Gross cash recovery (GCR) is the gross cash collection expected over the remaining life of an asset. Gross cash recovery is often expressed as a percentage of book value. Gross cash recovery is most likely to appear in notifications when asset liquidations occur, especially in situations in which a
What Is a Gross Coupon? The term “gross coupon” refers to the average coupon rate received from a portfolio of mortgage loans. The term is often used in the market for mortgage-backed securities (MBS) since these mortgage portfolios are the underlying assets on which these MBS products are based. Key Takeaways The gross coupon refers
What Is Gross Income? Gross income for an individual—also known as gross pay when it’s on a paycheck—is an individual’s total earnings before taxes or other deductions. This includes income from all sources, not just employment, and is not limited to income received in cash; it also includes property or services received. For companies, gross
What Is a Gross Income Multiplier? A gross income multiplier (GIM) is a rough measure of the value of an investment property. It is calculated by dividing the property’s sale price by its gross annual rental income. Investors can use the GIM—along with other methods like the capitalization rate (cap rate) and discounted cash flow
What Is the Gross-Income Test? The gross-income test is one of the five necessary tests that dependents must pass before they can be claimed as such in the United States. The gross-income test mandates that dependents cannot earn more than a certain amount of income each year. Furthermore, this test only applies to potential dependents
What Is the Gross Leverage Ratio? The gross leverage ratio is the sum of an insurance company’s net premiums written ratio, net liability ratio, and ceded reinsurance ratio. The gross leverage ratio is used to determine how exposed an insurer is to pricing and estimation errors, as well as its exposure to reinsurance companies. KEY
What Is Gross Margin? The term gross margin refers to a profitability measure that looks at a company’s gross profit compared to its revenue or sales. A company’s gross margin is expressed as a percentage. Gross profit is determined by calculating gross sales. The higher the gross margin, the more capital a company retains, which
What Is Gross Merchandise Value (GMV)? Gross merchandises value (GMV) is the total value of merchandise sold over a given period of time through a customer-to-customer (C2C) exchange site. It is a measure of the growth of the business or use of the site to sell merchandise owned by others. Gross merchandise value (GMV) is
