I just want to say thank you. I had to learn a month's worth of coursework in 5 days for my exam and I referred all the material from your videos. I got a 90% on the exam. Thank you so much you're a priceless tutor, and the fact that you take so much time to make us these videos means alot.
Your math and physics videos helped me so much during my university years. Now that I’ve graduated and trying to startup my own business, your videos are still here to help. Man I must say you’ve been part of my life journey. Thanks a lot
Thank you so much. God sent u to me cuz I didn't know how the heck I was going to do my assignment due tomorrow for university. Now it looks easy so thanks so much. Praise be to God.
Gross,Operating,Net (profit aka income aka earnings) Gross Profit = Revenue - COGS. Operating Profit = Revenue - Total Operating Expenses. Net profit = Revenue - Total Expenses. Margin means divide by Sales aka Revenue and times by 100.
man, this is so helpful. There are so many alternate words. Please use them as well to get it quick. Awesome work! Easy as hell step by step and good to revise! Thanks a lot!
What is the difference between the operating expenses and the total expenses? In the example in this video there are $600M in Operating Expenses, and $640M in total expenses. What kinds of expenses could account for the additional $40M? Is it labor, administrative, depreciation....?
THANKS . FOR THE VIDEO , GREAT TEACHINGS ON CONCEPTS OF FINANCIAL TERMS , HELPFUL FOR PEOPLE FROM ART AND SCIENCE GROUP AND THOSE WHO NEVER UNDERSTOOD THESESTHINGS .
Hey sir. Hope you doing great. Am texting from Africa. Your videos have been of significant help to me and various people around. we really appreciate you for that bro. I just have a simple request, we all have been so curious of the voice behind the black board. Please please please, kindly send a video so that we know how you look like. That would be a good thing. Please respond .
please correct me if I am wrong but I think Operating Income should be sales - COGS - Operating Expenses. Therefore 800 - 500 - 600 => operating inncome of -300. You'd then divide this by your sales to get your operating margin.
XYZ business has a rate of turnover of 7 times. Average stock is $12,600. Trade discount (i.e. margin allowed) is 33.25 % off all selling prices. Expenses are 66.75% of gross profit. Calculate the following: a. cost of goods sold b. gross profit margin c. turnover d. total expenses e. net profit
sorry I have a question about question one, if the COGS is 500M and operating expenses are 600M, why total expenses are 640M instead of 500m+600m? Thank you
In that example, The COGS was 78.1% responsible for the Total Operating Expenses. As a food analogy, if Total Operating Expense was a pizza, COGS would be the Pepperoni and be on essentially 75% of the pizza.
Best teacher in the world! There’s one equation that won’t stop bugging me: Calculating Sales Price. If I bought a car for $1000 and I wanted to resell it to make a 30% margin. My intuition says that the price I should sell it for (to make 30% margin) should be $1,300. But in this pricing equation: Price = Costs/(1- % margin) Price = $1000/(1- 30%) Price = $1000/(1-0.30) Price = $1000/ (0.70) Price = $1, 428.00 (the real price I should sell the car to make a 30% margin!) Confirmation: 1,428 - 1,000/1,428 = 30% margin! Could anyone help me learn how to think about this calculation? Especially why the (1-% margin)? Why does the denominator need to be .70? Where am I wrong?
In that example, The COGS was 78.1% responsible for the Total Operating Expenses. As a food analogy, if Total Operating Expense was a pizza, COGS would be the Pepperoni and be on essentially 75% of the pizza.
QUESTION (...cuz I'm confused). If you want to calculate PM as a percentage (like you're calculating in the video) then I don't think it's NI/Sales x 100%. Shouldn't it be NI/Sales x 100 (not 100%) which gives you the PM as percentage? Or am I wrong somewhere? Thanks for the great video.
i was surprised how many people did not catch the % issues... i dont know how this guy didnt notice. It is not a ttypo, becuase he tells you to divide by 100 at times when he shouldn’t have. Oh well, evetything else was helpful
Hi, if i have a GM of 55% Sales for 30,000 Units and unit price is $100. I have an opportunity to sell 10,000 units at $71 (only in this 10,000 units) What is the GM per unit and GM for promotional Opportunity?
what is the gross profit if the elements of the income statemnt look as follows: secondary income 33,000; COGS 68.000; depreciation 500; sales 100,000? a)32,000 b) 20,000 c)32,500 d)25,000 e) none of above answers is correct Someone could help me? I don't know how to calculate that?
@4:54 the math here is off, 30%=0.30 so you can't divide it by 100, that will make it 0.003. The NI is 30% by your equation which will end up being $0.3M.
i dont understand why it is using sales not revenue. He mentioned that sales are same as revenue but its not actually quite the case can someone explain me?
sales and revenue can be the same for some businesses. For example, if your business was selling candles and you recognized revenue based on the candles you sold, it would be the same. You sold 100 candles at $5 each would result in both your sales and revenue being $500. However, in a consulting business, sales and revenue typically differ. Sales is the dollar amount of the contract you obtained but revenue is the value of the work you have performed so far. You finalized a contract for services for $10,000 so $10,000 is your sales for the month. However, if you only performed/billed 30% of that contract then revenue would only be for $3,000 and not the full amount of the contract. This example assumes the first scenario.
But something that i still don't understand is the differences of a gross margin and gross profit margin. Let's say it like this (Gross Margin and Profit Margin vs Gross Profit Margin).
Gross,Operating,Net (profit aka income aka earnings) Gross Profit = Revenue - COGS. Operating Profit = Revenue - Total Operating Expenses. Net profit = Revenue - Total Expenses. Margin means divide by Sales aka Revenue and times by 100.
GM UNDERSTOOD , PART B OM NOT UNDERSTOOD , BECAUSE WE DID NOT CONSIDER COST OF GOODS 500MN , BUT CONSIDERED 600MN AS OE NOW COST OF GOODS ESCAPED , SO THIS IS NOT CLEAR SIR . I AM SORRY .
Final Exams and Video Playlists: www.video-tutor.net/
Accounting,Physics,chemistry,Maths.....he has to be a genie for sure😭
Frfr
Yeaaahhh😍
Seriously bruh
💯💯💯
The crazy math genie. HAHAHA.
I just want to say thank you. I had to learn a month's worth of coursework in 5 days for my exam and I referred all the material from your videos. I got a 90% on the exam. Thank you so much you're a priceless tutor, and the fact that you take so much time to make us these videos means alot.
Your math and physics videos helped me so much during my university years. Now that I’ve graduated and trying to startup my own business, your videos are still here to help. Man I must say you’ve been part of my life journey. Thanks a lot
fr bro, this man has carried me through grade 9 - 12 and college level math, chemistry, and now accounting! Dudes a legend
I used to be a dull in accounting but watching this, it becomes so much easy. Thank you for this video.
Never thought you were gonna talk about somethinh like this, not only are your chemistry videos useful but also all your knowledge
Thank you so much. God sent u to me cuz I didn't know how the heck I was going to do my assignment due tomorrow for university. Now it looks easy so thanks so much. Praise be to God.
I am literally sat in a seminar and you are explaining better than my teacher 🤦🏻♀️
one of the best teacher I have ever experienced. you are priceless teacher...thank you so much!
Thank you so much! I was having such a hard time understanding how profit margin works. You made it so much simpler for me. Thank you!
Gross,Operating,Net
(profit aka income aka earnings)
Gross Profit = Revenue - COGS.
Operating Profit = Revenue - Total Operating Expenses.
Net profit = Revenue - Total Expenses.
Margin means divide by Sales aka Revenue and times by 100.
man, this is so helpful. There are so many alternate words. Please use them as well to get it quick. Awesome work! Easy as hell step by step and good to revise! Thanks a lot!
Thanks for the simple explanations!
You’re such a blessing for doing this! Thank you king
Good Work Man. Very Easily explain. Keep it up.
What is the difference between the operating expenses and the total expenses? In the example in this video there are $600M in Operating Expenses, and $640M in total expenses. What kinds of expenses could account for the additional $40M? Is it labor, administrative, depreciation....?
THANKS . FOR THE VIDEO , GREAT TEACHINGS ON CONCEPTS OF FINANCIAL TERMS , HELPFUL FOR PEOPLE FROM ART AND SCIENCE GROUP AND THOSE WHO NEVER UNDERSTOOD THESESTHINGS .
Very easy to follow, great explanation. Thanks
I love how you can hear the resent in his voice - income tax...thats negative...that's an expense
Hey sir. Hope you doing great. Am texting from Africa. Your videos have been of significant help to me and various people around. we really appreciate you for that bro.
I just have a simple request, we all have been so curious of the voice behind the black board. Please please please, kindly send a video so that we know how you look like.
That would be a good thing. Please respond .
hey he's a really famous book writer, just search John green on google :)
Google says it is Julio Gonzales to answer "who is the organic chemistry tutor?"
This was extremely helpful! thank you for your elaborate explanation.
Hello
Thank you so much for sharing and explaining this information!
please correct me if I am wrong but I think Operating Income should be sales - COGS - Operating Expenses. Therefore 800 - 500 - 600 => operating inncome of -300. You'd then divide this by your sales to get your operating margin.
Thank you!! Great example.
Thank you so much for this video. Do you know where I could practice more of these problems?
Good video👍
Now I understand what's a profit margin
Excellent
How the hell did you get so smart man you deserve all the views
800M worth of sales with 500M+600M+640M of spends still net profit margin of 20%. What's the magic?
It's the profit margin that determines how strict management needs to get and be.
For operation income I think u for got to subtract cost of goods sold
Tomorrow is my exam am tired of reading so will be spending the night here😁😍
Who needs college when you have Organic Chemistry Tutor
XYZ business has a rate of turnover of 7 times. Average stock is $12,600. Trade discount (i.e. margin allowed) is 33.25 % off all selling prices. Expenses are 66.75% of gross profit. Calculate the following: a. cost of goods sold b. gross profit margin c. turnover d. total expenses e. net profit
Thank you for the clear explanation
Wow what a great video, thank you sir for your help. ❤️
Yes! Thank you brother!
i just wanna say thanks You so much this vidio is so benefits to me...i love you so much..... :)
wowww,i just realized you are Bucky Robertson,the guy who taught about physics on the other channel
sorry I have a question about question one, if the COGS is 500M and operating expenses are 600M, why total expenses are 640M instead of 500m+600m? Thank you
In that example,
The COGS was 78.1% responsible for the Total Operating Expenses.
As a food analogy, if Total Operating Expense was a pizza,
COGS would be the Pepperoni and be on essentially 75% of the pizza.
Best teacher in the world!
There’s one equation that won’t stop bugging me: Calculating Sales Price.
If I bought a car for $1000 and I wanted to resell it to make a 30% margin. My intuition says that the price I should sell it for (to make 30% margin) should be $1,300.
But in this pricing equation:
Price = Costs/(1- % margin)
Price = $1000/(1- 30%)
Price = $1000/(1-0.30)
Price = $1000/ (0.70)
Price = $1, 428.00 (the real price I should sell the car to make a 30% margin!)
Confirmation: 1,428 - 1,000/1,428 = 30% margin!
Could anyone help me learn how to think about this calculation? Especially why the (1-% margin)? Why does the denominator need to be .70? Where am I wrong?
I no longer want to use formulas without understanding the why’s.
Thank you. Great Video!
Is COGS part of operating expenses or not? 🤔 edit: if it Is not, then total business expenses = 500 + 600 = 1100 ?
In that example,
The COGS was 78.1% responsible for the Total Operating Expenses.
As a food analogy, if Total Operating Expense was a pizza,
COGS would be the Pepperoni and be on essentially 75% of the pizza.
Thanks I was confused for a long time, thinking that if your cost of one item is $1 and sell it for $2 my margin was 100%.... lol
Exactly. Millions of people still use this.
Thank you ‼️
you are a great man
plz make a playlist for naming reaction only...organic chemistry
You are the best.
Thank you so much. Subs
Hi I need to know if 500000 in revenue 145000 in net income, balance sheet showed net asset 350000, what is the operating ratio and
Thanks a lot.
Good job
Question. How did total expenses end up being $640M? Don't you just add COGS and EBIT?
Thank you 😊
100% means Gross total sales correct?
QUESTION (...cuz I'm confused). If you want to calculate PM as a percentage (like you're calculating in the video) then I don't think it's NI/Sales x 100%. Shouldn't it be NI/Sales x 100 (not 100%) which gives you the PM as percentage? Or am I wrong somewhere? Thanks for the great video.
You are right... I think he had a typo error
i was surprised how many people did not catch the % issues... i dont know how this guy didnt notice. It is not a ttypo, becuase he tells you to divide by 100 at times when he shouldn’t have. Oh well, evetything else was helpful
Hi, if i have a GM of 55% Sales for 30,000 Units and unit price is $100. I have an opportunity to sell 10,000 units at $71 (only in this 10,000 units) What is the GM per unit and GM for promotional Opportunity?
Box Office of this movie had to of been $950,000,000,000,000
what is the gross profit if the elements of the income statemnt look as follows: secondary income 33,000; COGS 68.000; depreciation 500; sales 100,000?
a)32,000
b) 20,000
c)32,500
d)25,000
e) none of above answers is correct
Someone could help me? I don't know how to calculate that?
I would be tickled if my business could hit 40%+ profit margins. :)
You should say multiplied by 100 and not multipled by 100%. These are two different things. Very good video though.
100%. ;)... sooooo many people didn’t get that... oh well, still good content ASIDE from simple math
So when you say "sales" that's overall total, right? (Including the expenses etc...) or just the profit?
Sale are revenues. Basically is the price of what you are selling x quantity. You dont have to discount expenses
This was helpful but school still sucks
@4:54 the math here is off, 30%=0.30 so you can't divide it by 100, that will make it 0.003. The NI is 30% by your equation which will end up being $0.3M.
Anyone else having trouble with the formulas when using it on a 10K form? I am not following and have always had good grades in math.
Thanked
What is the software you are using to draw the numbers?
Chris Boles ?
i dont understand why it is using sales not revenue. He mentioned that sales are same as revenue but its not actually quite the case can someone explain me?
sales and revenue can be the same for some businesses. For example, if your business was selling candles and you recognized revenue based on the candles you sold, it would be the same. You sold 100 candles at $5 each would result in both your sales and revenue being $500. However, in a consulting business, sales and revenue typically differ. Sales is the dollar amount of the contract you obtained but revenue is the value of the work you have performed so far. You finalized a contract for services for $10,000 so $10,000 is your sales for the month. However, if you only performed/billed 30% of that contract then revenue would only be for $3,000 and not the full amount of the contract. This example assumes the first scenario.
But something that i still don't understand is the differences of a gross margin and gross profit margin. Let's say it like this (Gross Margin and Profit Margin vs Gross Profit Margin).
Gross margin is the same as Gross profit margin
Gross,Operating,Net
(profit aka income aka earnings)
Gross Profit = Revenue - COGS.
Operating Profit = Revenue - Total Operating Expenses.
Net profit = Revenue - Total Expenses.
Margin means divide by Sales aka Revenue and times by 100.
Interesting
i still dont understand the different between gross margin and profit margin
GM UNDERSTOOD , PART B OM NOT UNDERSTOOD , BECAUSE WE DID NOT CONSIDER COST OF GOODS 500MN , BUT CONSIDERED 600MN AS OE NOW COST OF GOODS ESCAPED , SO THIS IS NOT CLEAR SIR . I AM SORRY .
Yooh bro how many subjects do you know 🙆🙆🙆🙆
@Grayson Newte the dude is talented ...props 🔥🔥😩😩
👏👏
dude you sound like mark wahlberg
He do business y'all
Hey man keep up🤙
1m
Doesn't make sense at all.
Whattt
1st
Suggestion: MCAT playlist? What to know before taking the mcat?