Enter the dollar value of one-tick move ($/tick) and the total number of ticks since purchase into the calculator to determine the Commodity Profit.
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Commodity Profit Formula
The following formula is used to calculate the Commodity Profit.
CP = DV * #T
- Where CP is the Commodity Profit ($)
- DV is the dollar value of one-tick move ($/tick)
- #T is the total number of ticks since purchase
How to Calculate Commodity Profit?
The following example problems outline how to calculate Commodity Profit.
Example Problem #1:
- First, determine the dollar value of one-tick move ($/tick). In this example, the dollar value of one-tick move ($/tick) is given as 50.
- Next, determine the total number of ticks since purchase. For this problem, the total number of ticks since purchase is given as 2.2.
- Finally, calculate the Commodity Profit using the equation above:
CP = DV * #T
The values given above are inserted into the equation below:
CP = 50 * 2.2 = 110 ($)
Example Problem #2:
The variables needed for this problem are provided below:
dollar value of one-tick move ($/tick) = 60
total number of ticks since purchase = 30
Entering these values and solving gives:
CP = 60 * 30 = 1800 ($)
