Enter the unit revenue ($) and the unit cost ($) into the Unit Margin Calculator. The calculator will evaluate and display the Unit Margin. 

Unit Margin Formula

The following formula is used to calculate the Unit Margin. 

UM = (UR-UC) / UR * 100

  • Where UM is the Unit Margin (%)
  • UR is the unit revenue ($) 
  • UC is the unit cost ($) 

How to Calculate Unit Margin?

The following example problems outline how to calculate Unit Margin.

Example Problem #1:

  1. First, determine the unit revenue ($). 
    • The unit revenue ($) is given as: 67.
  2. Next, determine the unit cost ($). 
    • The unit cost ($) is provided as: 50.
  3. Finally, calculate the Unit Margin using the equation above: 

UM = (UR-UC) / UR * 100

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

UM = (67-50) / 67 * 100 = 25.37 (%)


Example Problem #2: 

For this problem, the variables required are provided below:

unit revenue ($) = 60

unit cost ($) = 5.5

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

UM = (UR-UC) / UR * 100 = ?