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finance pricing·Simple

Gross Margin

Formula: margin = (selling_price − cost) ÷ selling_price × 100

Inputs

Results

Gross Margin
35 %

Warnings & checks

  • Warn if margin is below 15% (low_margin_percent threshold)
  • Invalid if selling_price is 0 or negative

Recommended next actions

  • Negotiate input cost down before raising price
  • Compare margin against industry benchmark

Use for estimation. Verify safety-critical calculations with qualified review.

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