Pricing & Profit · Product Pricing & Margin Workbench
What happens to the margin?
Compare three prices for one fictional product while its cost and selling fees stay fixed.
Fixed scenario preview. Choose from fictional worked examples below. This is a separate, limited preview—not the downloadable application. It cannot open or save business data; refreshing resets the example.
$16.00 selling price
$5.22Net profit / unit
32.6%Net margin
60%Markup before fees
Production cost $10.00Fees $0.78Profit $5.22
| Revenue | $16.00 |
| Production cost | −$10.00 |
| Selling fees | −$0.78 |
| Net profit | $5.22 |
A 60% markup becomes a 32.6% net margin after selling fees. Markup and margin use different denominators.
$20.00 selling price
$9.10Net profit / unit
45.5%Net margin
100%Markup before fees
Production cost $10.00Fees $0.90Profit $9.10
| Revenue | $20.00 |
| Production cost | −$10.00 |
| Selling fees | −$0.90 |
| Net profit | $9.10 |
At $20, the product doubles its production cost, but the net margin is 45.5% after fees.
$24.00 selling price
$12.98Net profit / unit
54.1%Net margin
140%Markup before fees
Production cost $10.00Fees $1.02Profit $12.98
| Revenue | $24.00 |
| Production cost | −$10.00 |
| Selling fees | −$1.02 |
| Net profit | $12.98 |
A higher price changes both profit and the percentage fee. These sample figures are illustrations, not pricing recommendations.
The full downloadable tool
This preview exposes only the fixed cases shown above.
- Build a saved product catalog with your costs.
- Model labor, overhead, batch losses, discounts and shipping.
- Compare retail and wholesale orders, target prices and reports.