It is mathematically the same, both are equal to selling price - cost.

Profitability refers to an indicator of the ability of a business, an individual, or an operating organization. For business operations, but also to human resources as the main point of resource allocation of a profit model to promote the development of the economy's effect. Promote the horizontal financing of funds and economic horizontal links, improve the overall efficiency of resource allocation.

Selling price = cost + profit

Selling price = cost × (1 + profit margin)

Profit = selling price - cost

Profit = cost × profit margin

Profit margin = profit ÷ cost

Profit margin = (selling price ÷ cost - 1) × 100%

Discount = Selling Price ÷ Pricing × 100% (Discount < 1)

Extended Information

Example: A mall marked up a pair of sneakers by 40% of their cost and then sold them at a 20% discount, which still resulted in a profit of $21 per pair, so how much did the Featherlite cost.

Analysis: set the cost of x yuan, from the cost: (1 + 40%) x is the price tag. Then 20% discount that: (1 + 40%)x * 80% is the selling price. Subtract the profit of $21: (1+40%)x *80%-21, and it's the cost price again. So: (1+40%)x *80%-21=x. Take the line graph and walk around the equation.

Baidu Encyclopedia - Profitability