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Computes the Chapter 17 profit margin: $$ \text{Profit Margin} = \frac{NPV}{APV_{GP}}. $$

Usage

profit_margin(NPV, APV_GP)

Arguments

NPV

Net present value of profits.

APV_GP

Actuarial present value of gross premiums.

Value

Numeric scalar.

Examples

profit_margin(6.03, 259.52)
#> [1] 0.0232352