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How are Offer Calculations determined?
How are Offer Calculations determined?

Learn how margins, unit and total prices, foreign currency, revenue and VAT are calculated in Offer admin

Marius Nagel-Petersen avatar
Written by Marius Nagel-Petersen
Updated over 6 months ago

In this article, discover how calculations are performed in Offer admin. Several columns contain calculations based on user input, including those for VAT article, quantity, Unit in (foreign), and margin.

FORMAT

Here is an overview of the formats of the fields available on the offer:

Field

Format

VAT article

This is a display text set by Qondor (by request) based on the following fields: Article number, Name, VAT %, VAT % fee.


For example, the text may be displayed as:
[artno] - [vatpercentages] - [name] = "VAT15 - 15% - Low rate"

Quantity

Number

Unit in (foreign)

Number

Unit in

Number

Margin

Percentage

Unit out

Number

Total in

Number

Total out

Number

Revenue

Number

Total VAT

Number

CALCULATIONS

Here is an overview of the calculations of the fields available on the offer:

Field

Calculation

Unit in

Unit in (foreign) * exchange rate

Margin

(Unit Out - Unit In) / Unit Out) * 100

Unit out

Unit In / (100% - Margin percentage)

Total in

Quantity * Unit in

Total out

Quantity * Unit out

Revenue

Total out - Total in

Total VAT

Total In * Vat + (Total out - Total in) * Vat fee



MARGIN VS MARKUP


Margin is based on the selling price, while markup is based on the cost.


Calculation example:

Margin: If an item costs 1000kr and is sold for 1500kr, the margin would be 33.3% ((1500kr - 1000kr) / 1500kr).


Markup: With a cost of 1000kr and a selling price of 1500kr, the markup would be 50% ((1500kr - 1000kr) / 1000kr).



Another calculation example with a 1000kr cost and 15% margin/markup:

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