How to calculate margin on a product

For anybody not a secret that the price of goods in retail differs from wholesale. But the wholesale and retail price, in turn, are distinct from procurement and so on, up to the cost of the goods. In this regard, there is a simple human question: what is the value of margin? How to calculate the margin on the product?

Instruction

Of course, to calculate all this really, but with many reservations. First and foremost, you must know that the retail margin varies depending on directions, that is, from the view of traded goods. For example, on alcoholic products is not practiced allowance less than 30%. As for food, here it is possible to speak with confidence about the trading margin of 25%, for wholesalers – 10%.

According to statistics, last year the margin on the goods at retailers amounted to from 16 to 30%.

Taking into account the above information, you can use elementary calculations with the use of a calculator and subtract from the price of the acquisition, the estimated number of percent. Thus, you will receive the purchase price, which is closer to the cost of goods. Keep in mind that the larger retail network, the lower trading margin and Vice versa, the smaller the seller, the greater the margin.

The ideal calculation of the trade margin is the method when the known purchase price. Then you take away from the price of purchase purchase and receive the amount of the margin in absolute terms or just in the money. To understand the interest equivalent of commercial premiums take the cost and divide it by the purchase. Subtract one and multiply by 100. This time you got the calculation of the margin in relative terms.

Now you have at your disposal a set of tools with which help it is possible to make an independent calculation of trade margins

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