I need a basic formula that my brain is failing to give.

[Bailey_Thomas]

Hello again forum,

I'm trying to boost some sales on my products by repricing but my think box is failing me on this equation.
SO... spread.. I have a spread of my products, cost, price, and all the fun stuff.. I need my calculated GP (Gross Profit) to be down to 10%. Meaning, I have thousands of items here with all sorts of GP's from 10% to 100% I want no matter what the current GP is, I need the price to be brought down to make my GP only 10%. So the variable is where I'm getting caught up, I need to solve for X and I don't know how. So in words (if I can explain this correctly) Cost minus Price divided by cost will get my current GP. The equation I need will calculate my current GP or just pull it from the calculation I already have and solve for X(current GP) and bring that GP down with end result being: My 100$ item has a 100% GP.. by making that item 10$ I lower my GP to 10% which is goal.
I know I'm repetitive but it's hard for me to explain things. Any help on this would be greatly appreciated, THANK YOU!


-Tommy Bailey

[simarui]

this post violates rule #1 of the forum rules
http://www.excelforum.com/forum-rule...rum-rules.html

please change the title to something which describes the problem.

[Bailey_Thomas]

It does describe the problem... I need a formula... that I can't think to make. Thus... Title saying... "I need a basic formula"

[daffodil11]

I believe the algebraic expression you are looking for is:

(C2*10)/9

A cost of .35:

(.35*10)/9 = .1

Price should be set at .39 to lower GP to 10%


I got this by solving for X: (X-C2)/X=0.1

[simarui]

sorry dude... but i don't think that is specific enough... everyone here needs a formula. you need help calculating revenue / pricing based on a given profit margin.

[Bailey_Thomas]

Awesome!
I'll give that a shot daffodill11, thank you!

@Simarui, I apologize that the title of my post has affected you negatively.. for some reason. I'm not sure how to change it. I hope you can move past this violation of rule #1 and give advice to more people in need of it.