(Help) Trying to build an Excel that can calculate a Discount and how it ties to Margin

coachsean

New Member
Joined
Apr 20, 2023
Messages
1
Office Version
  1. 365
Platform
  1. Windows
There is a fundamental difference between what I often call hard discount points and how that ties to Margin.
Example: Product List Price is $100,000.00.
I want to offer a discount of 20% (easy enough; $100,000 x 20% = $20,000 reduction)
New Price is $80,000.00
This ties to using a VAR/Reseller. Reseller will buy from me at $80,000 and then sell to their customer at $90,000 (showing the customer a 10% Discount from List Price of $100,000.00)
So how do I calculate the VAR/Reseller Margin? It's not 10% (the remaining discount)
i.e. - there is a difference between hard discount points and then the corelated margin.
(unfortunately, I cannot download/install the XL2BB, as when I do I get a security message saying that it is blocking a harmful Macro (?!?)
Image attached.
 

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If the VAR/Reseller buys from you at $80,000 and sells to their customer at $90,000, their margin is $10,000, and their margin percentage is 11.1% ($10,000 / $90,000).
 
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