How this Variable Profit Calculator Works
Need to calculate your variable profits accurately? Our Variable Profit Calculator helps you determine your net profit and profit percentage from your sales activities, including both variable and fixed costs.
Using the Calculator:
- Selling Price per Unit: Enter the selling price of each unit of goods.
- Variable Cost per Unit: Input the variable cost of each unit.
- Number of Units Sold: Enter the total number of units sold.
- Fixed Costs: Include the fixed costs incurred for the production of the goods.
- Calculate: Click the "Calculate Profit" button to determine your net profit and profit percentage.
Variable Profit Calculation Formula:
The formula used to calculate the net profit is:
Net Profit = (Selling Price per Unit × Number of Units Sold) − (Variable Cost per Unit × Number of Units Sold + Fixed Costs)
The profit percentage is calculated as:
Profit Percentage = (Net Profit / (Variable Cost per Unit × Number of Units Sold + Fixed Costs)) × 100
For more information on variable profit strategies, visit this comprehensive Guide.