Profit Margin on an item that Cost $20 with a Selling Price of $24.20

Given: Cost = $20,  Selling Price = $24.20
Formula:
Profit Margin =  
Selling Price – Cost/ Selling Price

Profit Margin =  
$24.20 – $20/ $24.20

Profit Margin =  
$4.20/ $24.20

Profit Margin = 0.1736 = 17.36%
Notes:
Profit = Selling Price – Cost = $24.20 – $20 = $4.20
Markup Amount = Profit = $4.20
Markup Percentage =  
Markup Amount/ Cost
=  
$4.20/ $20
= 0.21 = 21%

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

Related Glossary Terms

Related Applications

Related Solutions