1. Determine the total revenue and cost; 2. Calculate the total profit, that is, the total revenue minus the cost; 3. Multiply the total profit by 10 percent to get 10 percent profit. For example, if the total revenue is $100 and the cost is $60, the total profit is $40, and the 10 percent profit is $4.
Profit formula:
1, total revenue: refers to the enterprise in a certain period of time through the sale of goods or the provision of services to obtain all the income;
2, total costs: including production costs, selling costs, management costs and all other costs directly related to business activities;
3, net profit: total revenue minus total costs of the remaining Amount, that is, the enterprise's net profit;
4, profit margin: net profit divided by the total revenue, and then multiplied by 100 percent, the percentage is the profit margin. If you want to calculate the profit margin of 10 percent, you can divide the net profit by the total revenue and compare the result with 10 percent to determine whether the expected level of profit.
In summary, to calculate the ten percent profit first need to specify the total revenue and cost, then deduct the cost from the total revenue to get the total profit, and finally multiply the total profit by 10 percent to get the required profit value; for example, with a total revenue of $100 and a cost of $60, the result of its calculation of the ten percent profit is $4.
Legal basis:
Chinese People's **** and the State Company Law
Article 166
The company distributes the year's after-tax profit, it should withdraw ten percent of the profit into the company's legal reserve. If the accumulated amount of the company's legal reserve is fifty percent or more of the company's registered capital, it may not be withdrawn.
If the company's legal reserve is insufficient to make up for the losses of the previous years, the company shall make up for the losses with the current year's profits before withdrawing the legal reserve in accordance with the provisions of the preceding paragraph.
After the company has withdrawn the legal reserve from the after-tax profit, it can also withdraw any reserve from the after-tax profit by the resolution of the shareholders' meeting or the shareholders' general meeting.
The after-tax profit remaining after the company has made up for its losses and withdrawn its provident fund shall be distributed to limited liability companies in accordance with the provisions of Article 34 of this Law; and to joint stock companies in proportion to the shares held by their shareholders, unless the articles of association of a joint stock company stipulate that it is not to be distributed in accordance with the proportion of the shares held by the shareholders.
If the shareholders' meeting, shareholders' general meeting or board of directors violates the provisions of the preceding paragraph by distributing profits to shareholders before the company makes up for its losses and withdraws its legal reserve, the shareholders must return the profits distributed in violation of the provisions to the company.
Profits may not be distributed on the Company's shares held by the Company.