The impossibility of 3%
Great article. Thanks. What’s the math behind the 43% margin? I did 1 - (1.95 / 2.80) which was 31% so I must have wrong inputs.
Actually Hunter, you are 100% correct and I'm wrong - I calculated margins as a percent of the net cashback (aka 2.80 - 1.95 / 1.95) but the denominator should be the 2.80%. I'm adjusting that in the post and clarifying. Thanks for the note!
Got it - thanks for follow up.
Insane detail 👏
Great article. Thanks. What’s the math behind the 43% margin? I did 1 - (1.95 / 2.80) which was 31% so I must have wrong inputs.
Actually Hunter, you are 100% correct and I'm wrong - I calculated margins as a percent of the net cashback (aka 2.80 - 1.95 / 1.95) but the denominator should be the 2.80%. I'm adjusting that in the post and clarifying. Thanks for the note!
Got it - thanks for follow up.
Insane detail 👏