Initializing Experience...
Initializing Experience...
Link price, cost, margin, and markup while modeling expenses and discounts.
Enter any two absolute-compatible values. The two most recent fields drive the calculation.
Add optional per-unit operating expenses to separate gross and net margin.
Estimate required sales volume and ideal price for a target profit amount.
Margin
50.00%
Profit as a percentage of selling price.
Gross Profit
$50.00
Revenue minus cost, before operating expenses.
Net Profit
$34.00
Expenses: $16.00
Net Margin
34.00%
Net profit divided by revenue.
Test how promotional discounts affect final profit in real time.
Discounted Price
$90.00
Discounted Net Profit
$24.00
Discounted Margin
26.67%
Profit Lost
$10.00
74
Units needed to cover $2,500.00 in fixed monthly overhead.
$96.00
Ideal margin: 31.25%
Ideal markup: 60.00%
Margin measures profit relative to selling price. It answers what percentage of revenue becomes profit.
Markup measures profit relative to cost. It answers how much was added on top of cost.