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:
- First, determine the unit revenue ($).
- The unit revenue ($) is given as: 67.
- Next, determine the unit cost ($).
- The unit cost ($) is provided as: 50.
- 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 = ?