Distributor Margin
Free Distributor Margin calculator with clear step-by-step results.
About Distributor Margin
Distributor margin is the absolute and relative difference between cost and the resale price.
Formula
Formula
Margin = price − cost; margin % = margin ÷ price × 100
Worked example
With the default values below, Distributor Margin returns Distributor Margin of $20.00. Change any input above and every figure here is recalculated in your browser.
Inputs used
- Price to retailerminimum 0 $
- 80 $
- Distributor's costminimum 0 $
- 60 $
Results
- Distributor Margin
- $20.00
- Margin (%)
- 25.0%
- Markup (%)
- 33.3%
Step by step
- 1Values used
- 2Formula
- 3Distributor Margin= $20.00
- 4Margin (%)= 25.0
- 5Markup (%)= 33.3
Assumptions and limits
- The result is derived only from the 2 inputs listed above. Anything not among them is not part of the calculation.
- In particular, this calculator does not take inflation, tax or compounding frequency into account.
- Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
- This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.
How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.
Frequently Asked Questions
How does this calculator work?
Distributor margin is the absolute and relative difference between cost and the resale price.
Why does this matter?
Margin and markup are different — this computes both.