ModeldrillGross profit and gross margin
A financial modeling exercise from Modeldrill. Solve it with a live spreadsheet grid in your browser, with Fill right and Fill down, and it is checked the moment you submit.
The task
Revenue grows with B2 and cost of goods sold is given. Fill two rows: gross profit in row 7 (revenue less cost) and gross margin in row 8 (gross profit as a share of revenue).
What this exercise teaches
Margin divides by the revenue in its own year. Locking the revenue reference ($B$5) would divide every year by 2026 revenue, a common slip that only shows up once revenue grows.
A hint if you get stuck
Write B7 and B8 first, then fill each row right. Every reference here should move with the column.
Try it now, no account needed
This exercise is free. Open it on the practice page, solve it, and get instant feedback with a hint and a worked solution after two tries.
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