Formulas and calulcations for margin, markup and cost price
Formulas and calulcations for margin, markup and cost price
Here's a list of basic formulas and calculations (unrounded) that could come in handy for spreadsheet programmes such as excel.
We use the following formulas to do forward and reverse calculations on things such as retail inc VAT price given the cost price and retail margin and visa versa.
* Calculate ex VAT from cost price and margin
ExVAT = CostPrice / (100 - Margin) * 100
* Calculate margin from ex VAT and cost price
Margin = ((ExVAT - CostPrice) / ExVAT) * 100
* Calulate margin from markup
Margin = (1 - (1 / ((Markup / 100) + 1))) * 100
* Calculate markup from margin, ex VAT and cost price
Markup = ((Margin * ExVAT) / CostPrice)
* Calculate markup from margin
Markup = (Margin) / (1 - (Margin / 100))
* Calculate inc VAT from cost price, margin and tax rate
IncVAT = (CostPrice / (100 - Margin) * 100) * (1 + (TaxRate / 100))
* Calculate cost price from ex VAT and margin
CostPrice = ExVAT * ((100 - Margin) / 100)
* Calculate margin from cost price and Inc VAT price
Margin = (1 - (CostPrice / (IncVATPrice / (1 + (TaxRate / 100))))) * 100
If you'd like more please post your request with details.
Happy to help - John (Easify Support)
