Profit Margin and Net Profit

Online Auction Profit Calculator. Image generated by AI

The Profit Margin and Net Profit Calculator helps sellers determine their net profit and profit margin percentage after accounting for platform fees, shipping costs, and other expenses. This tool provides an accurate analysis of profitability for online sales.


Auction Profit Calculator


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Calculator

  1. enter the amount for which the item was sold
  2. the percentage fee charged by the sales platform
  3. the cost of shipping
  4. other expenses, if applicable
  5. the sellers cost of the item

Results

  1. platform fee amount
  2. total expenses
  3. net profit
  4. profit margin

Example Calculation

Sale Price: $500
Platform Fee: 10%
Shipping Cost: $20
Other Expenses: $15
Cost of Item: $100

Calculation:

Platform Fee Amount:
Platform Fee Amount = 500 * (10 ÷ 100) = 50
Total Expenses:
Total Expenses = Platform Fee Amount + Shipping Cost + Other Expenses + Cost of Item:
Total Expenses = 50 + 20 + 15 + 100 = 185
Net Profit:
Net Profit = Sale Price - Total Expenses
Net Profit = 500 - 185 = 315
Profit Margin:
Profit Margin = (Net Profit / Sale Price) * 100
Profit Margin = (315 ÷ 500) * 100 = 63%
Results
Platform Fee Amount: $50.00
Total Expenses: $185.00
Net Profit: $315.00
Profit Margin: 63.00%

This calculator is an essential tool for sellers to understand their profitability and optimize pricing for online sales.

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