Reply
 
LinkBack Thread Tools Search this Thread Display Modes
  #1   Report Post  
Posted to microsoft.public.excel.misc
external usenet poster
 
Posts: 133
Default how do i set up a profit margin formula

new to excel-- i would like to set up a formula to calculate the margin
percentage.

ex -- cost divided by retail= markup, markup divided by 1. the markup

1.00/1.50 = .667

.667/1.667=40% gross margin
  #2   Report Post  
Posted to microsoft.public.excel.misc
external usenet poster
 
Posts: 2,819
Default how do i set up a profit margin formula

=(A1/B1)/(1+(A1/B1)) format as percent

wayne wrote:

new to excel-- i would like to set up a formula to calculate the margin
percentage.

ex -- cost divided by retail= markup, markup divided by 1. the markup

1.00/1.50 = .667

.667/1.667=40% gross margin


  #3   Report Post  
Posted to microsoft.public.excel.misc
external usenet poster
 
Posts: 2,276
Default how do i set up a profit margin formula

Hi Wayne,
In your example the margin is 50% not 40% the formula to use is

Cell A1 = Selling price
Cell A2=Cost

=1/(1+(A2/A1))

other way is to simple deduct the cost from the Selling price divided by 100
=(A1-A2)/100

"wayne" wrote:

new to excel-- i would like to set up a formula to calculate the margin
percentage.

ex -- cost divided by retail= markup, markup divided by 1. the markup

1.00/1.50 = .667

.667/1.667=40% gross margin

Reply
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules

Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On


Similar Threads
Thread Thread Starter Forum Replies Last Post
margin formula baseballguy Excel Discussion (Misc queries) 2 October 9th 08 02:48 AM
Formatting Footers from Margin to Margin Stacia S Excel Discussion (Misc queries) 5 July 31st 07 12:31 AM
Profit Margin heater Excel Discussion (Misc queries) 1 February 20th 07 04:32 PM
Profit and Loss Formula carl Excel Worksheet Functions 1 January 25th 06 09:32 PM
gross profit margin formula julmcgrath Excel Discussion (Misc queries) 2 March 11th 05 03:01 PM


All times are GMT +1. The time now is 04:34 AM.

Powered by vBulletin® Copyright ©2000 - 2024, Jelsoft Enterprises Ltd.
Copyright ©2004-2024 ExcelBanter.
The comments are property of their posters.
 

About Us

"It's about Microsoft Excel"