This calculator calculates the distributor margin percentage. The formula is:
$$\text{Distributor Margin} = \frac{\text{Revenue} - \text{Cost}}{\text{Revenue}} \times 100$$
Where:
- Revenue is the total revenue earned by the distributor ($)
- Cost is the cost of goods sold by the distributor ($)
- Distributor Margin is the profit margin as a percentage
Example: If a distributor has revenue of $100,000 and costs of $70,000:
$$\text{Distributor Margin} = \frac{100{,}000 - 70{,}000}{100{,}000} \times 100 = \frac{30{,}000}{100{,}000} \times 100 = 30$$
The distributor margin is 30%.