Why is the profit calculated by dividing it with the cost of goods?

Top WooCommerce & WordPress Plugins Forums Cost of Goods for WooCommerce Why is the profit calculated by dividing it with the cost of goods?

Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • #89980
    bram
    Guest

    Hi,

    Why is profit % calculated by dividing with cost of goods. Normal way is to divide with selling price, so you can never go above 100% profit.

    Thanks

    #89981
    blankMoshtafizur
    Moderator
    Plugin Support

    Hello Bram,

    Thank you for reaching out to us.

    > Why is profit % calculated by dividing with cost of goods.

    Because it is the profit percentage. This profit is based on the cost price, so it might exceed 100%.

    > Normal way is to divide with selling price

    I believe you are referring to profit margin, which is calculated with the selling price taken as base. With our plugin, you can show the profit margin in admin single product edit pages, in the admin products list “Profit” column. To do this, please navigate to WooCommerce > Settings > Cost of Goods > Products and set the Product profit HTML template to the %profit_margin% placeholder. Now enable the Admin products list columns > Product profit.

    Also, you can show profit margin in the admin order edit pages. To do so, go to the Orders section and paste %profit_margin% placeholder in the input field under the Meta box.

    I hope you found this information beneficial. If you have any other questions or need assistance, please contact me.

Viewing 2 posts - 1 through 2 (of 2 total)
  • You must be logged in to reply to this topic.