Enter the sell price of the commodity ($) and the purchase price of the commodity ($) into the Commodity Margin Calculator. The calculator will evaluate and display the Commodity Margin. 

Commodity Margin Formula

The following formula is used to calculate the Commodity Margin. 

COM = (SPC – PPC) / SPC * 100

  • Where COM is the Commodity Margin (%)
  • SPC is the sell price of the commodity ($) 
  • PPC is the purchase price of the commodity ($) 

How to Calculate Commodity Margin?

The following example problems outline how to calculate Commodity Margin.

Example Problem #1:

  1. First, determine the sell price of the commodity ($). 
    • The sell price of the commodity ($) is given as: 753.
  2. Next, determine the purchase price of the commodity ($). 
    • The purchase price of the commodity ($) is provided as: 278.
  3. Finally, calculate the Commodity Margin using the equation above: 

COM = (SPC – PPC) / SPC * 100

The values given above are inserted into the equation below and the solution is calculated:

COM = (753 – 278) / 753 * 100 = 63.08 (%)


Example Problem #2: 

For this problem, the variables required are provided below:

sell price of the commodity ($) = 842

purchase price of the commodity ($) = 239

Test your knowledge using the equation and check your answer with the calculator above.

COM = (SPC – PPC) / SPC * 100 = ?