Profit Factor definition

Profit Factor means the product of (a) the fraction, the numerator of which shall be the actual net income (before taxes and employee bonuses) of the Company less the Income Hurdle (as defined herein) for such year, and the denominator of which shall be the Targeted Net Income (as defined herein) less the Income Hurdle for such year, and (b) the Profits Weight (as defined herein).
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Profit Factor means the product of (a) the fraction, the numerator of which shall be the actual net income (before taxes and employee bonuses) of the Company for such year, and the denominator of which shall be the Targeted Net Income (as defined herein), and (b) the Profits Weight (as defined herein).
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Examples of Profit Factor in a sentence

  • Owner will make payments to the Construction Manager within thirty (30) days of invoice approval on the basis of monthly ▇▇▇▇▇▇▇▇ prepared by the Construction Manager and approved by the Owner based on the hourly, not-to-exceed (NTE) rates established in Attachment D – Manpower, Direct Salary Rate and Overhead & Profit Factor Schedule.

  • If Profit Factor is greater than 1.0, it means that the trading system is a winning system.

  • Profit is incentivized such that the lower the Overhead Rate, the greater the Profit Factor.

  • Among above three factors, the Profit Factor is the most important.