Working with clients I see them using all sorts of creative ways in trying to develop their sales price. Sometimes using mark up and margins sometimes licking their finger and holding it out the window.
Calculating a selling price using a gross margin is relatively simple = cost / (1-Gross Margin%) yet it still manages to confuse people.
For that reason I’ve added an extract from a very basic spreadsheet below
Please feel free to take a copy of this for your own use.