Companies with Similar Gross Profit Figures and Different Net Assignment - 4

Companies with Similar Gross Profit Figures and Different Net Operating Income - Assignment Example There are four levels of profit and profit margins- gross profit, operating profit, pre-tax profit, and net profit. The term â€Å"margin† can apply to the absolute number for a given profit level and/or the number as a percentage of net sales/revenue. Profit margin analysis uses the percentage calculation to provide a comprehensive measure of a company’s profitability on a historical basis (3-5 years) and in comparison to peer companies and industry benchmarks. Another online resource tells how to calculate operating margin. According to the Allstarsstock online, Key measurement of the financial strength, by Walden, G â€Å"Operating income / total revenue= operating margin.† Hence, from the above references, we can easily abstract the impact of operating margin on the overall operating income of the company. Therefore, two companies having the same gross profit can also have different operating income. Thinking of personal skill as the products and selling them in the market is just like selling your company’s products in the market or sometimes you can purse for new market opportunities. According to the book by Chaudhry, A. The Craft of selling yourself. 2009, â€Å"Job hunting is similar to selling anything. It’s selling of one’s skills, ideas, time, talent, energies, and expertise. It’s like being available for value addition as any other product does; and in return, you get paid in cash and kind.†Ã‚  Therefore, in order to hunt new market opportunities, we have to enhance our skills as well look for the new opportunities created in the market. All we need to take crucial steps towards our career path planning. It is very vital to achieving a certain level in society, which is considered as or you can say most suitable for us while considering our overall qualifications and skills we are having. In order to achieve the target market in terms of new market opportunities in regards to career planning, we should take a look at the latest happenings and current market situation. Therefore, according to the author of the book, managing your Career. 2010,† each one of us has the ability to control the path that our careers take. It requires that we truly self-aware so that we can identify what our own interests and passions are – what will truly make us happy in our career.†Ã‚   I do agree with the statement mentioned above, other than people like Warren Buffet and Bill Gates. According to the colloquium on tax policy and public break issued by New York University School of Law, Tax deductions for charitable contributions: domestic activities, foreign activities, or none of above, 2011, â€Å"Warren Buffet, Bill Gates, and a bevy of other billionaires have pledged to give half of their wealth for charitable purposes.† This statement shows that the topmost billionaires in the United States are giving more than half of their overall wealth for charitable purpo ses. Nevertheless, in most cases, the above statement is quite right.