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margin

noun
mar·​gin | \ ˈmär-jən How to pronounce margin (audio) \

Definition of margin

 (Entry 1 of 2)

1 : the part of a page or sheet outside the main body of printed or written matter
2 : the outside limit and adjoining surface of something : edge at the margin of the woods continental margin
3a : a spare amount or measure or degree allowed or given for contingencies or special situations left no margin for error
b(1) : a bare minimum below which or an extreme limit beyond which something becomes impossible or is no longer desirable on the margin of good taste
(2) : the limit below which economic activity cannot be continued under normal conditions
c : an area, state, or condition excluded from or existing outside the mainstream the margins of critical discourse— Barbara L. Packer living in society's margins
4a : the difference which exists between net sales and the cost of merchandise sold and from which expenses are usually met or profit derived
b : the excess market value of collateral over the face of a loan
c(1) : cash or collateral that is deposited by a client with a commodity or securities broker to protect the broker from loss on a contract
(2) : the client's equity in securities bought with the aid of credit obtained specifically (as from a broker) for that purpose
d : a range about a specified figure within which a purchase is to be made
5 : measure or degree of difference the bill passed by a one-vote margin

margin

verb
margined; margining; margins

Definition of margin (Entry 2 of 2)

transitive verb

1a : to provide with an edging or border
b : to form a margin to : border
2a : to add margin to margin up an account
b(1) : to use as margin margin bonds to buy stock
(2) : to provide margin for margin a transaction
c : to buy (securities) on margin
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Other Words from margin

Noun

margined \ ˈmär-​jənd How to pronounce margined (audio) \ adjective

Examples of margin in a Sentence

Noun

 Please write your name in the left margin of the page. a book with wide margins Mountains lie at the city's northern margins.

Verb

 the riverbed is margined by a flat beach of smooth rocks
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Recent Examples on the Web: Noun

 The paper had its best year, financially, in 1989, with a profit margin of about 17%, according to Brown. — Jordyn Grzelewski, cleveland.com, "What comes next? End of Vindicator’s 150-year run adds to uncertainty in Youngstown," 1 Sep. 2019 Fares were comparatively high and there was no low-cost competition in Milwaukee, which allowed for healthy profit margins. — Joe Taschler, Milwaukee Journal Sentinel, "The new Midwest Express will not be the old, beloved Midwest Express. Industry economics won't allow it.," 30 Aug. 2019 But the platforms also charge hefty commissions on each order and can squeeze the profit margins of culinary establishments. — New York Times, "India’s Restaurants Rebel Against Food Delivery Apps," 29 Aug. 2019 But companies like DoorDash and GrubHub have also come under fire from food retailers by charging extra transaction fees that can squeeze razor-thin profit margins. — Sarah Min, CBS News, "McDonald's will expand food delivery nationwide," 28 Aug. 2019 Metals: Falling prices affected sales and profit margins. — Sangeeta Tanwar, Quartz India, "Here are some numbers to prove that the Indian economy is losing steam," 26 Aug. 2019 Most of them are luxury cars and SUVs with higher profit margins that can cover higher U.S. wages. — Joe Mcdonald, Twin Cities, "Trump raises tariffs on Chinese goods as trade war escalates," 23 Aug. 2019 Meanwhile, China’s move to slash per car subsidies to manufacturers effective late June will hurt profit margins. — Echo Huang, Quartz, "China’s electric-vehicle giant saw its profits jump 204% in a slowing car market," 21 Aug. 2019 Liquor producers sometimes use the potentially toxic liquid to increase profit margins and raise alcohol content, according to the Associated Press. — NBC News, "Death toll from tainted liquor in Costa Rica rises to 25," 19 Aug. 2019

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'margin.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

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First Known Use of margin

Noun

14th century, in the meaning defined at sense 1

Verb

1715, in the meaning defined at sense 1a

History and Etymology for margin

Noun

Middle English, from Anglo-French, from Latin margin-, margo border — more at mark

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More Definitions for margin

margin

noun

Financial Definition of margin

What It Is

The term margin has two main definitions. The first refers to the ratio of profit to revenue. The second refers to money borrowed from a brokerage firm in order to leverage an investment.

How It Works

Margin as a Financial Ratio
Let's assume Company XYZ records $1 million in net income for 2008 and $10 million in sales. By using the formula described above, we can calculate that Company XYZ has a $1,000,000/$10,000,000 = 10% net profit margin. We can determine from this number that XYZ keeps 10% of the revenue it generates or for every $1 XYZ generates in

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