i think ui must give u hints
Instructions
1
Download or obtain the income statement. You can find this on the 10K or the annual report published by the company. The 10K is a document required by the Securities and Exchange Commission that all public companies must issue.
2
Calculate gross margin, which is the first level of profitability. Gross margin is sales minus costs of goods sold divided by sales. For example, assume sales were $100,000 for the year and costs of goods sold are $10,000. $90,000 / $100,000 = .90. Multiplying the answer by 100 equals 90 percent gross profit margin.
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3
Calculate the operating margin. Operating margin equals gross profit minus operating expenses divided by sales. For example, operating expenses are $40,000. Multiply by 100 for the percentage. The operating margin is $90,000 - $40,000 = $50,000 / $100,000 = .5 x 100 = 50 percent.
4
Calculate the net income margin. Net income margin in operating profit minus any other expenses, plus any other income divided by sales. Multiply by 100 for the percentage margin. For example, taxes are $10,000. The net income is $50,000 - $10,000 = $40,000. Net income margin is $40,000 / $100,000 = .4 x 100 = 40 percent.