How to Find Net Income: A Guide for Beginners

How to Find Net Income: A Guide for Beginners

If your business isn’t generating revenue, you’re not going to have a business for very long. You have to keep close tabs on what your company is bringing in. But even then, simply knowing about your revenue isn’t going to be enough. To be successful, you can’t just...
How to Calculate Operating Profit Margin

How to Calculate Operating Profit Margin

The Basics Operating profit margin is the ratio of operating income to net sales.  Operating profit margin is similar to gross profit margin, another financial ratio, but takes it a step further by subtracting operating expenses in addition to cost of goods sold....
The Pareto Principle (80-20 Rule), Explained

The Pareto Principle (80-20 Rule), Explained

The Pareto Principle, or 80/20 rule, describes this general idea: that 80% of the output comes from just 20% of the input. This concept is well-known among business operators and economists. But the idea of imbalanced inputs and outputs extends to many disciplines and...
What Is an OKR (Objective and Key Result)?

What Is an OKR (Objective and Key Result)?

Setting goals is an important part of running a successful company—without goals, what do companies and their employees work toward? In reality, goal setting can be easier said than done. It takes critical, forward thinking and a goal-oriented mindset to determine...