In 2018, Target Corp. reported sales of $71.9 billion, cost of goods sold of $51.1 billion, operating profit of $4.3 billion, and net income of $2.9 billion. Target has no preferred stock outstanding. It's operating profit margin that year was ________.
A) 20.7%
B) 8.4%
C) 4.0%
D) 6.0%

The operating profit margin of Target Corp. for 2018 is 6%. This can be derived by applying values to the formula of Operating Profit margin (OPM).

The formula for obtaining Operating profit margin is -

Operating Profit Margin (in %) = Operating profit / Net sales x 100

By putting values in the formula above we get the answer obtained as 4.3 / 71.1 x 100 = 6.04% (~ 6%)

It can be observed that the OPM of Target is below average standards as compared to other players in the industry with similar numbers.

Hence, margins of Target are not found to be good at 6% and need to be improved with increase in number of sales.

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In 2018, Target Corp. reported sales of $71.9 billion, cost of goods sold of $51.1 billion, operating profit of $4.3 billion, and net income of $2.9 billion. Target has no preferred stock outstanding. It's operating profit margin that year was ________. A) 20.7% B) 8.4% C) 4.0% D) 6.0%

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In 2018, Target Corp. reported sales of $71.9 billion, cost of goods sold of $51.1 billion, operating profit of $4.3 billion, and net income of $2.9 billion. Target has no preferred stock outstanding. It's operating profit margin that year was ________.
A) 20.7%
B) 8.4%
C) 4.0%
D) 6.0%