Profit Margin on an item that Cost $100 with a Selling Price of $120

Given: Cost = $100,  Selling Price = $120
Formula:
Profit Margin =  
Selling Price – Cost/ Selling Price

Profit Margin =  
$120 – $100/ $120

Profit Margin =  
$20/ $120

Profit Margin = 0.1667 = 16.67%
Notes:
Profit = Selling Price – Cost = $120 – $100 = $20
Markup Amount = Profit = $20
Markup Percentage =  
Markup Amount/ Cost
=  
$20/ $100
= 0.2 = 20%

The solution above and other related solutions  were provided by the Profit Margin given Cost and Selling Price Application.

Find Profit Margin given Cost and Selling Price

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