The formula to calculate the Blended Margin (BM) is:
\[ \text{BM} = \frac{\text{AS} - \text{AC}}{\text{AS}} \times 100 \]
Where:
Let's say the average sales revenue (AS) is $1000 and the average COGS (AC) is $600. Using the formula:
\[ \text{BM} = \frac{1000 - 600}{1000} \times 100 = 40\% \]
So, the blended margin is 40%.
Definition: The margin is the difference between the selling price and the cost of a product or service.
Formula: \( M = \frac{S - C}{S} \times 100 \)
Example: \( M = \frac{150 - 100}{150} \times 100 \)
Definition: A tool to calculate the margin based on the cost and selling price.
Formula: \( M = \frac{S - C}{S} \times 100 \)
Example: \( M = \frac{200 - 120}{200} \times 100 \)
Definition: A tool to calculate the margin after applying a discount to the selling price.
Formula: \( M = \frac{(S - D) - C}{S - D} \times 100 \)
Example: \( M = \frac{(250 - 50) - 150}{250 - 50} \times 100 \)
Definition: A tool to calculate the margin required for buying on margin in financial markets.
Formula: \( M = \frac{P \times L}{100} \)
Example: \( M = \frac{1000 \times 50}{100} \)
