Enter the total sales per item ($) and the cost per item ($) into the Profit Margin on Sales Calculator. The calculator will evaluate and display the Profit Margin on Sales.

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## Profit Margin on Sales Formula

The following formula is used to calculate the Profit Margin on Sales.

**PMoS = (S-C) / (S) * 100 = (%)**

- Where PMoS is the Profit Margin on Sales (%)
- S is the total sales per item ($)
- C is the cost per item ($)

## How to Calculate Profit Margin on Sales?

The following example problems outline how to calculate Profit Margin on Sales.

Example Problem #1:

- First, determine the total sales per item ($).
- The total sales per item ($) is given as: 25.

- Next, determine the cost per item ($).
- The cost per item ($) is provided as: 5.

- Finally, calculate the Profit Margin on Sales using the equation above:

PMoS = (S-C) / (S) * 100 = (%)

The values given above are inserted into the equation below:

PMoS = (25-5) / (25) * 100 = 80 (%)

Example Problem #2:** **

For this problem, the variables needed are provided below:

total sales per item ($) = 70

cost per item ($) = 5

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

PMoS = (S-C) / (S) * 100 = ?