Q » What is the formula for calculating gross margin return on investment (GMROI)?
26 Oct, 2025
A » Gross Margin Return on Investment (GMROI) is a key retail metric that evaluates the efficiency of inventory investments. The formula is: GMROI = (Gross Margin / Average Inventory Cost) x 100. This measure helps retailers determine how much gross profit is generated for every dollar invested in inventory, enabling better inventory management and profitability assessment.
26 Oct, 2025
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