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Why do you need a Profit Margin Calculator?

The Profit Margin Calculator is a tool that helps you calculate the required selling price to achieve a specific profit margin, or conversely, calculate the actual profit margin if you know the cost and selling price.

How does the tool work?

1. Calculate Price Based on Desired Margin

• Enter the product cost (e.g., $100)
• Choose the profit margin (%) you want (e.g., 25%)
• The tool calculates the selling price that achieves this margin (here it would be $133.33)

2. Calculate Margin Based on Price

• Enter the product cost ($100)
• Enter the actual selling price ($120)
• The tool shows you the profit margin you achieved (20%)

Formulas Used:

Calculate Selling Price from Profit Margin:

Calculate Profit Margin from Selling Price:

Benefits:

• Quick pricing planning when costs or profit targets change
• Review actual profit margins to analyze sales performance
• Perfect for small business owners and retailers to manage pricing accurately and easily

Tool Features:

• Ease of Use: Enter cost and margin or price to get results instantly
• Calculation Accuracy: Provides correct results without manual calculation hassles
• Two Calculation Modes: Calculate price from margin or calculate margin from price

Start using this tool now to save time and ensure accuracy in pricing your products!