How to Calculate Profit and Loss
Learn the formulas for calculating profit, loss, and margins.
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Formulas
Profit = Selling Price - Cost Price
Loss = Cost Price - Selling Price
Percentages
Profit % = (Profit / Cost Price) x 100
Loss % = (Loss / Cost Price) x 100
Example
Cost Price: 800
Selling Price: 1,000
Profit: 200
Profit %: (200/800) x 100 = 25%
Other Terms
Margin = (Selling Price - Cost Price) / Selling Price x 100
Markup = (Selling Price - Cost Price) / Cost Price x 100