LCM + normal profit margin

In Schweser it states that Market is bounded by NRV and NRV - a normal margin. What does this “normal profit margin” refer to? Would this default to Net profit margin? Is it an expected profit margin? Thanks for the help.

don’t worry about this too much - it’s referring to a normal profit margin. if you’re asked to calc this, they will give you a percentage for the profit margin.

Thanks vbcfa, I’ll worry about it when I run into it then.