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Need Formula or Function to calculate Margin (reverse of Percent a

  1. #1
    Ken
    Guest

    Need Formula or Function to calculate Margin (reverse of Percent a

    I need function to calculate the reverse of adding percent margin to a number
    (e.g. product price).

    For example, I have a number 100, and I want to identify the number that
    will result in 100 after 40% deduction (discount).
    I am looking for a formula or function in excel that will result in 166.67.
    Note that 166.67 - (166.67 * 40%) will result in my original number of 100.
    Some business calculator has this function (label as MU for Citizen
    calculator). Anyone knows how does Excel handles this, or know of a formula
    that can handle this.

    Another example is: The formula that will return 250 after input of 100 and
    60% discount. That is 250 - (250 * 60%).

    Note that in my 2 example, the inputs are 100 and 40% with result of 166.67,
    and 100 and 60% with result of 250.

    Thanks a lot..

  2. #2
    Forum Contributor
    Join Date
    01-18-2005
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    Auckland New Zealand
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    Office Professional 2007
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    295
    250 = 100 / (1-.6), 166.67 = 100 / (1-.4),
    so if 100 is in A1
    and your percent is in A2, then A3 = a1 / (1-a2).

    Hope this is what you need.

    REgards
    Mike

  3. #3
    Harlan Grove
    Guest

    Re: Need Formula or Function to calculate Margin (reverse of Percent a

    "Ken" <[email protected]> wrote...
    ....
    >I am looking for a formula or function in excel that will result in 166.67.
    >Note that 166.67 - (166.67 * 40%) will result in my original number of 100.

    ....

    Just a little algebra is all that's needed.

    166.67 - (166.67 * 40%) = 166.67 * (1 - 0.40) = 100

    so

    100 / (1 - 0.40) = 166.67

    So if you enter 100 as P and 40% as d, the formula to get 166.67 is P/(1-d).



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