Gross Margin Analysis

Why gross margin analysis is undertaken Gross Margin analysis is undertaken to so that a business manager can analyse results already achieved and plan for the future. Without gross margins analysis the business manager is short of a major part of their information system. A gross margin can be defined as the gross income from an enterprise less the variable costs incurred in achieving it. Gross margins are predominantly used to compare enterprises on the …

…Slight increase in cost is possible when the livestock increase in weight due to the fact that they will require a higher drenching rate, higher feeding rate if they are in a feedlot and also higher transport costs. It may be difficult to determine how much of a how much gain in value can be attributed to livestock management and how much of a gain in value can be attributed to market prices. 