Enter the cost price ($):
Enter Margin Percentage (%)
Result:
Profit (gross profit) is:
0.00$
Cost of sales (revenue or final price to the consumer) is:
0.00$
Extra charge (extra charge on cost) is:
0.00%
How to determine the size of profit taking into account margin and cost?
Our portal will try to explain everything in simple words.
Profit (in dollars) (gross profit) is the difference between revenue and cost
Profit = Cost of sales – Cost, where
- profit in dollars
- сost of sales in dollars
- cost in dollars
Cost of sales (in dollars) (revenue or “shelf price”) is the final cost of the goods or services to the consumer (client), that is, the price for which you are ready to give your goods or service.
Cost of sales = Cost / (1 – (Margin / 100)), where
- Cost of sales in dollars
- Сost in dollars
- Margin in percent (%)
Cost (in dollars) – in our calculator, cost refers to the total cost, which includes the total cost of production, organization of the production process, its implementation (delivery, advertising, etc.), that is, the delivery of the final product for consumption to the market product or service.
Margin (%) is the difference between the price and the cost of goods and services (most often expressed as a percentage).
Margin (%) – this is the difference between the cost of sales and the cost of goods or services, necessary to cover the full costs and profit (most often expressed as a percentage)
Margin = (Profit / Cost) * 100, where
- margin in percentage (%)
- profits in dollars
- cost in dollars