How do I figure out the gross profit percentage on new items in my store? Is there an equation or something?
Answer:
Revenue/cost = gross profit in decimal. Multiply by 100 % to get percentage.
turnover - cost of sales = gross profit
Typically, you should have a set mark up (mu) for all stock items. Between 2.5 and 3.25 works to cover shipping and overhead. So.your cost times your mu will give you gross profit.
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