Cost Plus Pricing Calculator
Answers the Question
What's the easiest way to figure out what to charge?
Calculator for Cost Plus Pricing
What Is the Cost Plus Pricing?
Cost-plus pricing is one of the simplest methods of coming up with a price. Bureaucratic organizations tend to be fond of this method, as it requires little in the way of managerial overhead and can be used in broad strokes.
Why Is it Important?
- Although this method usually results in a subpar pricing, it's extremely fast. As a result, it may be appropriate for firms that sell a large number of low value goods. This is doubly true when the specifics of the market change rapidly.
Formula(s) to Calculate Cost Plus Pricing
- COST PLUS PRICE = UNIT COST TO PRODUCE * (1+(PERCENT MARKUP/100))
- Setting a margin that is higher than the industry standard.