Margin and Sales Tax Calculator











Formulas

The formulas used in the calculations are:

\[ \text{profit} = \text{revenue} - \text{costs} \]

\[ \text{gross margin} = 100 \times \frac{\text{profit}}{\text{revenue}} \]

\[ \text{net price} = \frac{\text{gross price}}{1 + \text{tax rate}} \]

\[ \text{markup} = 100 \times \frac{\text{margin}}{1 - \text{margin}} \]

To calculate revenue from profit and margin:

\[ \text{revenue} = 100 \times \frac{\text{profit}}{\text{margin}} \]

To calculate costs from revenue and margin:

\[ \text{costs} = \text{revenue} - \frac{\text{margin} \times \text{revenue}}{100} \]

Description

This calculator computes the gross margin percentage, net price, and markup based on the input values of revenue, costs, gross price, tax rate, and margin.

Example Calculation

Let's assume the following:

Calculate the profit:

\[ \text{profit} = 10,000 - 7,000 = 3,000 \]

Calculate the gross margin percentage:

\[ \text{gross margin} = 100 \times \frac{3,000}{10,000} = 30\% \]

Calculate the net price:

\[ \text{net price} = \frac{200}{1 + 0.05} = 190.48 \]

Calculate the markup:

\[ \text{markup} = 100 \times \frac{0.20}{1 - 0.20} = 25\% \]

Therefore, the gross margin percentage is 30%, the net price is $190.48, and the markup is 25%.