Whiterose0583 Posts: 1, Reputation: 1 New Member #1 Jan 2, 2009, 07:27 PM
How to calculate the % margin of a product?
Show me the way to calculate % margin of a product.
 ROLCAM Posts: 1,420, Reputation: 23 Ultra Member #2 Jan 22, 2009, 02:23 AM

The margin on a product is always calculated
On the SALE PRICE.

Say the sale price is \$100.00
If you need to make a \$40.00 margin.
This is 40%.

Do not confuse margin with mark up.
Mark up is always calculated on the COST PRICE.

There is a definite mathematical relationship
Between cost price and selling price .
 Twobythelake Posts: 1, Reputation: 1 New Member #3 Sep 7, 2009, 04:53 PM

If I sold a product for \$7.50 and it cost me \$6.46 what is my &#37; margin?
 ROLCAM Posts: 1,420, Reputation: 23 Ultra Member #4 Sep 7, 2009, 06:45 PM

1) sale = 7.50
2) cost = 6.46
3) margin = 1.04
4) margin &#37; = (1.04)/(7.50) * 100 = 13.86%
 solveg Posts: 1, Reputation: 1 New Member #5 Oct 14, 2011, 10:26 AM
To calculate margin you have to use formula:

cost/ 100 - (xx% of margin) x 100= price
For example:

Purchase price =100
margin you want to add = 30%

So 100 / 70 x 100 = 142.85

then you will not get mixed up with giving a discount! Many people get that wrong!
Try to just add 30% to 100 you will get 130 and then take away 30% from 130 hoe much will you get? 91!!
try the same with 142.83 and you will get 99.981
Easy !
 Stringer Posts: 3,733, Reputation: 770 Business Expert #6 Oct 15, 2011, 04:41 PM
Whether this is a product or a service you must total all your costs. Subtract that from your selling price = margin (profit).

Stringer
 fjulius Posts: 1, Reputation: 1 New Member #7 Nov 10, 2011, 06:55 AM
Please assist with VAT calculation, mark-up and margins

Standard VAT rate of 14%

VAT exclusive cost of Black&Decker Drill 2 104.00
VAT on the cost of Black&Decker Drill??
VAT in inclusive cost of Black&Decker Drill??
Mark-up % on cost price 60%
VAT exclusive selling price of Black&Decker??
VAT on the selling price of Black&Decker??
VAT inclusive selling price of Black&Decker??
Gross profit earned per Black&Decker sold??
Gross margin attained (as a percentage)??

Thank you
 iecexco1 Posts: 1, Reputation: 1 New Member #8 Oct 22, 2013, 08:48 AM
I need to calculate margin on following
Selling price - 43.65, one unit normally sells at 3.27 - 18 units in case
New cost price - 23.99
18 units in a case
Want to sell every unit at 2 euro
Need to know how to calculate percentage margin

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