Enter the cost to make one pizza ($) and the sale margin (%) into the Pizza Price Calculator. The calculator will evaluate and display the Pizza Price.

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## Pizza Price Formula

The following formula is used to calculate the Pizza Price.

PP = CP / (1-SM/100)

- Where PP is the Pizza Price ($)
- CP is the cost to make one pizza ($)
- SM is the sale margin (%)

To calculate the pizza price, divide the pizza cost by 1 minus the sale margin.

## How to Calculate Pizza Price?

The following example problems outline how to calculate Pizza Price.

Example Problem #1:

- First, determine the cost to make one pizza ($).
- The cost to make one pizza ($) is given as: 3.50.

- Next, determine the sale margin (%).
- The sale margin (%) is provided as: 40.

- Finally, calculate the Pizza Price using the equation above:

PP = CP / (1-SM/100)

The values given above are inserted into the equation below:

PP = 3.50 / (1-40/100) = 5.833 ($)

Example Problem #2:** **

For this problem, the variables needed are provided below:

cost to make one pizza ($) = 4.50

sale margin (%) = 20

This example problem is a test of your knowledge on the subject. Use the calculator above to check your answer.

PP = CP / (1-SM/100)** = ?**