How To Calculate Percentage Gain or Loss On Sales

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How To Calculate Percentage Gain or Loss On Sales


Post by luminous » June 20th, 2018, 11:52 am

Keeping a good track of percentage gain or loss on your sales is one of the major ways you can achieve success on your investments. This helps you to analyse if you are making progress or failing to further help you come up with strategies to maximize your profit.
Here is how to quickly calculate the percentage of your gains or loses.

You minus the amount you sold your goods from the amount you invested in purchasing it and divide the result by the amount invested, multiply the result by 100

For instance,
John purchased an item for #5000 and sold to Paul at #14,000.
To calculate the percentage gain
(Amount Sold - Amount Purchased / Amount Purchased) x 100

14,000 - 5,000/ 5000 = 1.8
1.8x100 = 180% gain

If the result comes out negative then there is a loss.

For instance,
John purchased a new Refrigerator for #10,000 and Sold as new for #8,500 because he needed some cash urgently.

To calculate the percentage loss
(Amount Sold - Amount Purchased / Amount Purchased) x 100
8,500 - 10,000/10,000 = -0.15

-0.15 x 100 = -15%

There is a loss of 15 % here.




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