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I analyze the econometric relationship between revenue and total costs for major US corporations. I conduct a regression analysis of 71 companies, using a reduced-form equation to determine the operating profit markup for each sampled company. There is a simple arithmetic relationship between the profit markup and the profit margin.

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Cost-Based Profits

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  • 发表日期：

    2026年

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  • Ednaldo Araquém Silva

摘要

I analyze the econometric relationship between revenue and total costs for major US corporations. I conduct a regression analysis of 71 companies, using a reduced-form equation to determine the operating profit markup for each sampled company. There is a simple arithmetic relationship between the profit markup and the profit margin.