iswa 0 Report post Posted July 7, 2011 Lets say the bank offers a profit of 5%. This means a company needs to get a profit of 6%. When a company earns less than 6% it becomes more profitable to put the money in a bank account in stead of using the money to run a company. As long as the company delivers a profit range of 6% it stays profitable to run the company.This means a profit rate of 6% is an acceptable profit rate for a company. And lots of companies manage to reach this profit rate.Microsoft earned $ 62 billion in 2010.The operating income was $ 24 billion.This is a profit rate of 38 %.This profit rate is much higher than the minimal profit rate to run a profitable company.Source: Annual report 2010 of Microsoft. Share this post Link to post Share on other sites
