In Marx’s terms:
Rate of Exploitation = Surplus Labour ÷ Necessary Labour × 100 Also called the “rate of surplus-value” — it shows how much value the capitalist extracts above the worker's wage.
What does this mean?
Profit is the return on total capital invested.
As only living labour adds new value, the profit rate is the surplus value generated from workers divided by the total capital invested — both constant and variable.