Credits

Softusvista Office (Pune), India
Team Softusvista has created this Calculator and 500+ more calculators!
Bhilai Institute of Technology (BIT), Raipur
Himanshi Sharma has verified this Calculator and 500+ more calculators!

Profit Margin Solution

STEP 0: Pre-Calculation Summary
Formula Used
profit_margin = (Gross Profit/Selling Price)*100
PM = (GP/SP)*100
This formula uses 2 Variables
Variables Used
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 products.
STEP 1: Convert Input(s) to Base Unit
Gross Profit: 5000 --> No Conversion Required
Selling Price: 200 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
PM = (GP/SP)*100 --> (5000/200)*100
Evaluating ... ...
PM = 2500
STEP 3: Convert Result to Output's Unit
2500 --> No Conversion Required
FINAL ANSWER
2500 <-- Profit Margin
(Calculation completed in 00.016 seconds)

7 Other formulas that you can solve using the same Inputs

Volume of Output
volume_of_output = Fixed Costs/(Selling Price-Variable Cost per Unit) Go
Contribution Per Unit
contribution_margin_per_unit = Selling Price-Variable Cost per Unit Go
Markup Markdown Percentage
markup/markdown_percentage = (Gross Profit/Cost)*100 Go
Percentage off
percentage_off = 1-(Selling Price/Original Price) Go
Business Gross Profit Margin when Gross Profit and Sales are given
gross_profit_margin = Gross Profit/Sales*100 Go
Gross Profit Margin when Gross Profit and Sales are given
gross_profit_margin = Gross Profit/Sales*100 Go
Gross Profit
gross_profit = Selling Price-Cost Go

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. Profit Margin and 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) and Selling Price (SP) and hit the calculate button. Here is how the Profit Margin calculation can be explained with given input values -> 2500 = (5000/200)*100.

FAQ

What is Profit Margin?
Profit Margin is a measure of profitability 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 and The selling Price indicates the price associated with the selling products.
How to calculate Profit Margin?
Profit Margin is a measure of profitability is calculated using profit_margin = (Gross Profit/Selling Price)*100. To calculate Profit Margin, you need Gross Profit (GP) and Selling Price (SP). With our tool, you need to enter the respective value for Gross Profit and Selling Price and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.
Share Image
Let Others Know
Facebook
Twitter
Reddit
LinkedIn
Email
WhatsApp
Copied!