Profit Margin Solution

STEP 0: Pre-Calculation Summary
Formula Used
Profit Margin = (Gross Profit/Selling Price)*100
PM = (GP/SP)*100
This formula uses 3 Variables
Variables Used
Profit Margin - Profit Margin is a measure of profitability.
Gross Profit - Gross Profit is the profit a company makes after deducting the costs associated with making and selling its products.
Selling Price - The Selling Price indicates the price associated with the selling of the products.
STEP 1: Convert Input(s) to Base Unit
Gross Profit: 7500 --> No Conversion Required
Selling Price: 120 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
PM = (GP/SP)*100 --> (7500/120)*100
Evaluating ... ...
PM = 6250
STEP 3: Convert Result to Output's Unit
6250 --> No Conversion Required
FINAL ANSWER
6250 <-- Profit Margin
(Calculation completed in 00.004 seconds)

Credits

Created by Team Softusvista
Softusvista Office (Pune), India
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Verified by Himanshi Sharma
Bhilai Institute of Technology (BIT), Raipur
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3 Retail Sales Mark-Up Calculators

Markup Markdown Percentage
Go Markup Markdown Percentage = (Gross Profit/Cost)*100
Profit Margin
Go Profit Margin = (Gross Profit/Selling Price)*100
Gross Profit
Go Gross Profit = Selling Price-Cost

Profit Margin Formula

Profit Margin = (Gross Profit/Selling Price)*100
PM = (GP/SP)*100

How to Calculate Profit Margin?

Profit Margin calculator uses Profit Margin = (Gross Profit/Selling Price)*100 to calculate the Profit Margin, Profit Margin is a measure of profitability, expressed as the percentage of revenue that the company keeps as profit. Profit Margin is denoted by PM symbol.

How to calculate Profit Margin using this online calculator? To use this online calculator for Profit Margin, enter Gross Profit (GP) & Selling Price (SP) and hit the calculate button. Here is how the Profit Margin calculation can be explained with given input values -> 6250 = (7500/120)*100.

FAQ

What is Profit Margin?
Profit Margin is a measure of profitability, expressed as the percentage of revenue that the company keeps as profit and is represented as PM = (GP/SP)*100 or Profit Margin = (Gross Profit/Selling Price)*100. Gross Profit is the profit a company makes after deducting the costs associated with making and selling its products & The Selling Price indicates the price associated with the selling of the products.
How to calculate Profit Margin?
Profit Margin is a measure of profitability, expressed as the percentage of revenue that the company keeps as profit is calculated using Profit Margin = (Gross Profit/Selling Price)*100. To calculate Profit Margin, you need Gross Profit (GP) & Selling Price (SP). With our tool, you need to enter the respective value for Gross Profit & Selling Price and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.
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