.gm-calculator-container {
font-family: -apple-system, BlinkMacSystemFont, "Segoe UI", Roboto, Helvetica, Arial, sans-serif;
max-width: 800px;
margin: 20px auto;
padding: 25px;
border: 1px solid #e1e4e8;
border-radius: 12px;
background-color: #ffffff;
box-shadow: 0 4px 6px rgba(0,0,0,0.05);
}
.gm-calculator-header {
text-align: center;
margin-bottom: 30px;
}
.gm-calculator-header h2 {
color: #1a1a1a;
margin-bottom: 10px;
}
.gm-calculator-form {
display: grid;
grid-template-columns: 1fr 1fr;
gap: 20px;
margin-bottom: 30px;
}
@media (max-width: 600px) {
.gm-calculator-form { grid-template-columns: 1fr; }
}
.gm-input-group {
display: flex;
flex-direction: column;
}
.gm-input-group label {
font-weight: 600;
margin-bottom: 8px;
color: #444;
}
.gm-input-group input {
padding: 12px;
border: 2px solid #ddd;
border-radius: 6px;
font-size: 16px;
transition: border-color 0.3s;
}
.gm-input-group input:focus {
border-color: #007bff;
outline: none;
}
.gm-calc-btn {
grid-column: 1 / -1;
background-color: #007bff;
color: white;
padding: 15px;
border: none;
border-radius: 6px;
font-size: 18px;
font-weight: bold;
cursor: pointer;
transition: background-color 0.3s;
}
.gm-calc-btn:hover {
background-color: #0056b3;
}
.gm-results {
background-color: #f8f9fa;
padding: 20px;
border-radius: 8px;
margin-top: 20px;
display: none;
}
.gm-result-item {
display: flex;
justify-content: space-between;
padding: 10px 0;
border-bottom: 1px solid #dee2e6;
}
.gm-result-item:last-child { border-bottom: none; }
.gm-result-label { font-weight: 500; color: #555; }
.gm-result-value { font-weight: bold; color: #1a1a1a; font-size: 1.1em; }
.gm-article {
margin-top: 40px;
line-height: 1.6;
color: #333;
}
.gm-article h3 { color: #1a1a1a; margin-top: 25px; }
.gm-formula-box {
background: #e9ecef;
padding: 15px;
border-left: 5px solid #007bff;
margin: 20px 0;
font-family: "Courier New", Courier, monospace;
}
Gross Margin:
0%
Gross Profit:
$0.00
Markup Percentage:
0%
What is Gross Margin?
Gross margin represents the percentage of total sales revenue that a company retains after incurring the direct costs associated with producing the goods it sells and the services it provides. It is a critical metric for assessing the financial health and efficiency of a business model.
Gross Margin (%) = ((Revenue – Cost of Goods Sold) / Revenue) * 100
Understanding the Inputs
- Revenue: The total amount of income generated by the sale of goods or services related to the company's primary operations.
- Cost of Goods Sold (COGS): The direct costs attributable to the production of the goods sold by a company. This includes material costs and direct labor costs.
Gross Margin vs. Markup
It is common to confuse gross margin with markup. While both use the same basic inputs (revenue and cost), they provide different perspectives:
- Gross Margin is the profit relative to the selling price.
- Markup is the profit relative to the cost price.
Real-World Example
If you sell a product for $100 (Revenue) and it costs you $70 to produce (COGS), your gross profit is $30.
Your Gross Margin would be ($30 / $100) = 30%.
Your Markup would be ($30 / $70) = 42.86%.
function calculateGrossMargin() {
var revenue = parseFloat(document.getElementById('gm_revenue').value);
var cogs = parseFloat(document.getElementById('gm_cogs').value);
var resultsArea = document.getElementById('gm_results_area');
if (isNaN(revenue) || isNaN(cogs) || revenue 0) {
markup = (grossProfit / cogs) * 100;
} else {
markup = 0;
}
// Display Results
document.getElementById('res_profit').innerHTML = '$' + grossProfit.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById('res_margin').innerHTML = grossMargin.toFixed(2) + '%';
document.getElementById('res_markup').innerHTML = markup.toFixed(2) + '%';
resultsArea.style.display = 'block';
}