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The formula to calculate the net profit margin is revenue - the cost of goods sold (cogs) - expenses - interest - taxes/revenue * 100. Net profit is calculated by subtracting all the operating and nonoperating expenses from total revenue. Revenue is the number of total sales for a company for a specific period.The formula to calculate the net profit margin is revenue - the cost of goods sold (cogs) - expenses - interest - taxes/revenue * 100. Net profit is calculated by subtracting all the operating and nonoperating expenses from total revenue. Revenue is the number of total sales for a company for a specific period.
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