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Margin calculator
It also shows the most you can pay per 1,000 and still hit the target margin. The margin uses the selling price.
Why this exists
A cost of 1,000 and a price of 2,000 is a 50 percent margin and a 100 percent markup. Agree which one a supplier means.
The arithmetic finishes in this browser.
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01How to use it
Enter the rate, the selling price, and the target margin. The foreign amount you can still pay per 1,000 appears first.
Add the real per-1,000 price and the unit cost, the money left on each sale, and the actual margin fill in.
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02What you get
Rate 1,380, price 15,000, target 80 percent, and a real lot of 1,200 give a ceiling of 2,173.91 per 1,000.
The unit cost is 1,656 and 13,344 is left on each sale. The actual margin is 89.0 percent, above the target.
Entered1,380 · 15,000 · 80% · 1,200
1,000 2,173.91 89.0% 1,656 · 13,344 -
03Worth knowing
From a 20,000 price, take off a 10 percent fee and 3,000 shipping, then type the remaining 15,000 as the selling price.
A card rate can differ from the posted rate, so leave a little room in the exchange rate.
Questions
- QAre margin and markup the same?
- ANo. Cost 1,000 and price 2,000 is a 50 percent margin and a 100 percent markup.
- QIs shipping included?
- ANo. Put the price after fees and shipping into the selling-price field.
- QHow does the per-1,000 price work?
- AMultiply that sheet price by the rate and divide by 1,000. That is the unit cost.
- QIs 80 percent a high target?
- AIt is the figure before fees and ads. Online sales often need the pre-cost margin well above 30 to 50 percent.