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Business & Accounting

Profit Calculator

Calculate profit from units sold, selling price, variable cost per unit and fixed costs, with the resulting profit margin.

Your inputs

Results

Profit

$5,000.00

Revenue
$25,000.00
Total costs
$20,000.00
Profit margin
20%

✓Exact calculation — rounded only for display

What this calculator does

Profit depends on how many units you sell, what each brings in after variable costs, and the fixed costs you carry regardless of volume. Use this for quick what-if planning.

Formula and method

Revenue = units × price; Total cost = units × variable cost + fixed costs; Profit = revenue − total cost

Worked example

Calculated by this tool with its default inputs:

Inputs

  • Units sold: 1000
  • Selling price per unit: 25 (any currency)
  • Variable cost per unit: 12 (any currency)
  • Fixed costs for the period: 8000 (any currency)

Results

  • Profit: 5,000
  • Revenue: 25,000
  • Total costs: 20,000
  • Profit margin: 20%

How to read the results

If profit is negative, check the break-even point calculator to see how many units are needed to cover fixed costs.

Assumptions and limitations

  • Assumes constant price and unit cost at all volumes.

Financial results are estimates based on the inputs and assumptions shown. They are not financial advice; confirm figures with your lender, provider or a qualified adviser before making decisions.

Questions

What counts as a variable cost?

Any cost that rises with each unit sold, such as materials, packaging, shipping or payment fees.

Methodology and verification

Result type
Exact mathematical calculation (rounded only for display)
Formula version
1.0
Automated verification
3 reference and validation test cases, checked against independently computed values. The site cannot be built if any of them fail.
Editorial review
Awaiting human editorial review. The explanation was drafted with AI assistance; the formula and examples are verified by the automated tests above.

Privacy

Everything you enter is calculated in this browser and is not sent to Numerith or anyone else. Inputs are added to a share link only if you choose to include them. Privacy policy