LinkBack URL
About LinkBacks
Thanks all for help
Thanks all for help
Last edited by 2011winner; 06-14-2019 at 08:52 AM. Reason: solved
How much is algebra and how much is Excel and how much is financial theory.
I don't know financial theory, but it seems like VAT should just be included somewhere in cp. So cp=67+0.2*sp. Substitute into your existing formula for gp and you get
gp=(sp-mycost-0.2*sp)/sp=(250-67-0.2*250)/250=.532 (for the example given). Does that look right, or is there a different way to handle tax?
Originally Posted by shg
Thank you Mr Shorty , with your help and one change i seem to have cracked it gp=(sp/1.2-mycost)/sp*1.2
Re: Gross profit margin with Vat
Thank you Mr Shorty , with your help and one change i seem to have cracked it gp=(sp/1.2-mycost)/sp*1.2
In my own opinion, your formula should have looked like this: gp=(sp/1.2-mycost)/sp/1.2. The colour red aspect of the formula is your sales net of vat, which is what you supposed to use to get your gp margin.
There are currently 1 users browsing this thread. (0 members and 1 guests)
Posting Permissions
Register To Reply
Bookmarks