Equipment Rental Rate Calculator
This calculator helps you determine a fair and profitable rental rate for your equipment. Understanding your costs and desired profit margin is crucial for setting competitive prices that ensure your business thrives. By inputting the equipment's purchase cost, estimated operational lifespan, monthly operating expenses, and your desired profit margin, you can arrive at a rental rate that covers your investment and generates income.
Estimated Monthly Rental Rate:
This estimated monthly rental rate is calculated to cover the depreciation of your equipment over its useful life, your ongoing monthly operating expenses, and your desired profit margin.
#equipment-rental-calculator {
font-family: sans-serif;
border: 1px solid #ccc;
padding: 20px;
border-radius: 8px;
max-width: 500px;
margin: 20px auto;
background-color: #f9f9f9;
}
#calculator-title {
text-align: center;
color: #333;
margin-bottom: 15px;
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#calculator-description {
color: #555;
line-height: 1.6;
margin-bottom: 25px;
font-size: 0.95em;
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.input-row {
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align-items: center;
margin-bottom: 15px;
}
.input-row label {
flex: 1;
margin-right: 10px;
color: #444;
font-weight: bold;
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.input-row input {
flex: 1.5;
padding: 8px;
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button {
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padding: 10px 15px;
background-color: #007bff;
color: white;
border: none;
border-radius: 5px;
font-size: 1.1em;
cursor: pointer;
transition: background-color 0.3s ease;
margin-top: 20px;
}
button:hover {
background-color: #0056b3;
}
#result-section {
margin-top: 25px;
padding: 15px;
border: 1px dashed #007bff;
border-radius: 5px;
background-color: #e7f3ff;
text-align: center;
}
#result-heading {
color: #0056b3;
margin-bottom: 10px;
}
#rentalRateResult {
font-size: 1.8em;
font-weight: bold;
color: #333;
margin-bottom: 15px;
}
#explanation {
font-size: 0.9em;
color: #666;
line-height: 1.5;
}
function calculateRentalRate() {
var purchaseCost = parseFloat(document.getElementById("purchaseCost").value);
var usefulLifeMonths = parseInt(document.getElementById("usefulLifeMonths").value);
var monthlyOperatingExpenses = parseFloat(document.getElementById("monthlyOperatingExpenses").value);
var desiredProfitMargin = parseFloat(document.getElementById("desiredProfitMargin").value);
var resultElement = document.getElementById("rentalRateResult");
var resultSection = document.getElementById("result-section");
if (isNaN(purchaseCost) || isNaN(usefulLifeMonths) || isNaN(monthlyOperatingExpenses) || isNaN(desiredProfitMargin)) {
resultElement.innerText = "Please enter valid numbers for all fields.";
resultSection.style.display = "block";
return;
}
if (usefulLifeMonths <= 0) {
resultElement.innerText = "Useful life must be greater than 0 months.";
resultSection.style.display = "block";
return;
}
if (desiredProfitMargin < 0) {
resultElement.innerText = "Desired profit margin cannot be negative.";
resultSection.style.display = "block";
return;
}
// Calculate monthly depreciation (cost recovery)
var monthlyDepreciation = purchaseCost / usefulLifeMonths;
// Calculate the total cost per month (depreciation + operating expenses)
var totalMonthlyCost = monthlyDepreciation + monthlyOperatingExpenses;
// Calculate the profit amount
var profitAmount = totalMonthlyCost * (desiredProfitMargin / 100);
// Calculate the final rental rate
var monthlyRentalRate = totalMonthlyCost + profitAmount;
resultElement.innerText = "$" + monthlyRentalRate.toFixed(2);
resultSection.style.display = "block";
}