Talk:Zam-Buk

"resulting in a profit marginof more than 98%."

This statement, being unsourced, is said to be self-evident (previous edit). It is, in fact, not correct; doubtless arising from a good faith misunderstanding of what a profit margin is in business and economics.

If the reader of the article clicks the link to profit margin she will be taken to the appropriate definition, namely:

Markup is the ratio between the cost of a good or service and its selling price. It is expressed as a percentage over the cost. A markup is added onto the total cost incurred by the producer of a good or service in order to cover the costs of doing business and create a profit. The total cost reflects the total amount of both fixed and variable expenses to produce and distribute a product.

"Fixed" and "variable" expenses are appropriately defined by the links in that article.

The cost of doing business in 1908 as the purveyor of Zam-buk included, as you no doubt appreciate, taxes, wages, plant depreciation, advertising costs, trade discounts, liability insurance, and other miscellaneous costs. Probably his advertising budget alone was enormous. Be that as it may, "resulting in a profit margin of more than 98%" is not a true statement, and should not appear in an encyclopedia article. I will give you the first opportunity of correcting it.

On a separate matter, may I invite you to re-read [1].Ttocserp 09:35, 10 February 2018 (UTC)

You may stick [2] where the sun don't shine. I am really fed up with you civility warriors, who seem to congenitally consider any disagreement to be uncivil.

On to the more substantive point. What does your mathematics tell you is the correct profit margin? Please show your working in the answer. (BTW, applying a simple mathematical formula to figures reported by reliable sources is by no stretch of the imagination "original research". Eric Corbett 12:33, 10 February 2018 (UTC)[reply]

Not responsive. Please try again.Ttocserp

I have no idea what that rather cryptic reply means.

Anyway, I've double checked the figures and the profit margin given is indeed correct, but I think it's more accurately called the gross margin percentage as it doesn't take account of any operational costs, as you say, although they would very likely be minimal. So I've amended the article accordingly.

If you need me to explain the calculation to you I'll be happy to do so. Or is your objection based solely on your belief that it is original research to apply simple mathematical formulas to figures given by reliable sources? Or that profit margins and gross margins are unusual calculations to be applied to retail sales? Eric Corbett 13:31, 10 February 2018 (UTC)[reply]

Thank you for modifying the article. My objection was based, not on original research, but on inaccuracy. Stay well.Ttocserp 13:40, 10 February 2018 (UTC)

I'm glad we've been able to reach an amicable solution. Eric Corbett 15:01, 10 February 2018 (UTC)[reply]