Gross profit percentage and Merton distance-to-default: Difference between pages

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Gross profit percentage is one of a number of profitability ratios.
''Credit risk''.


It is calculated as gross profit divided by revenue, and usually expressed as a percentage.
The Merton distance-to-default measure is a credit risk metric, derived from option pricing theory.




Also known as the 'gross profit ratio', or 'gross profit margin'.
== See also ==
* [[Black Scholes option pricing model]]
* [[Credit risk]]
* [[KMV]]


 
[[Category:Identify_and_assess_risks]]
==See also==
*[[Gross profit]]
*[[Net profit margin]]
*[[Operating profit margin]]
*[[Profit margin]]
*[[Profitability]]
*[[Profitability ratio]]
*[[Ratio analysis]]
*[[Revenue]]
 
[[Category:Accounting,_tax_and_regulation]]
[[Category:The_business_context]]

Revision as of 07:32, 29 June 2022

Credit risk.

The Merton distance-to-default measure is a credit risk metric, derived from option pricing theory.


See also