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From Arthur Marquez <arthurm.farmersun...@gmail.com>
Subject Re: Price Rule Engine
Date Thu, 05 Apr 2018 15:24:47 GMT
I'm sure others can help you address this.
However, having done a lot of pricing scenarios, I've discovered some
misunderstanding that often occurs when addressing MARGIN, vs MARK-UP.

30% margin is accomplished by taking COST (whether average, or actual), and
using 1,429 as the multiplier.

Hence, 130% of cost, would achieve only 23% margin, which would *not* reach
your objective if a 30% margin.

I've included a chart to help illustrate this example.

I hope you find this helpful.


*Arthur Marquez*

*1-701-872-4471 : Office*
*1-818-919-5452 : Mobile*

*Farmers Union Oil Company of Beach ND*
*Farmers Union Propane, C3H8*
*90 NE 1st St.*
*Beach ND 58621*

*http://www.cenexofbeach.com/ <http://www.cenexofbeach.com/>*

On Wed, Apr 4, 2018 at 9:33 AM, <james@productive1.com> wrote:

> I noticed that the pricing engine will calculate off a percent off of
> list, default, Average costs, and margin but it is always using the List
> price as the base price so an example would be Price = Price *(20% of
> Average costs)
> What if you wanted all of your pricing to be based off of average costs.
>  So I want 30% margin or 130% of my costs.  So everything is based of
> average costs and list is not in the equation.
> Any insight on how to accomplish?
> Thanks,
> James

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