How this calculator helps
Margin on revenue answers: “What portion of each sale dollar is profit before overhead?” It is the lingua franca of ecommerce reporting.
Formulaprofit = sell − cost, margin% = (profit ÷ sell) × 100
Definitions used
Profit = selling price − cost. Margin % = (profit ÷ selling price) × 100. If selling price is not above cost, margin can be zero or negative.