I purchase a product: list price 132 euros: they apply a 15% + 10 + 10 discount. how much do I get if I sell it at 130 euros?. If I wanted a 2 point higher markup, how much should I sell it to?
In this example we start from a price list VAT included as happens in the retail shops.
We apply our in sequence set of discounts: in discount field 1 we will insert: 15 or 15,00, in discount fields 2 and 3 we will insert the corresponding discount value.
As we can see at the end of the calculation, we will receive a 31,15% discount which doesn’t correspond to 15+10+10=35. We will pay our product 90,88 euros + VAT.
Possiamo vedere che al termine ci verrà praticato uno sconto che non equivale a 15+10+10=35 ma del 31,15 % dal prezzo di listino.
Il nostro prodotto verremo a pagarlo 90,88 euro + IVA.
If we sell the product at 130 euros (a lower amount than in the price list), we have a 17,25% markup, a 15,68 euros margin and a 14,71% margin.
Now let’s suppose that we want to get a 2 point markup increase on the same product by applying the same discount: I just have to insert the new value (19,25= 2 point more than the prevoius one) in the “markup %” field. Click on “GO” and the app will make calculation: we can see that we have to sell the product at a price of 132.21 euros and that we wil get an higher margin.