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Pricing Strategy (Cost-Plus & Margin)

Compute a selling price three ways from unit economics — cost-plus markup, target margin on price, and break-even — allocating fixed costs per unit by expected volume.

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Datos verificados · julio de 2026

Why is the margin-based price different from the cost-plus price at the same percentage?

A markup percentage is applied to cost, while a margin percentage is applied to the selling price itself — a 25% margin on price requires a higher price than a 25% markup on the same cost, because the margin percentage is a share of a bigger number (the price, not the cost).

Fuente: Standard cost-plus / target-margin pricing methodology (management accounting) — price = full unit cost × (1 + markup %); price = full unit cost / (1 − target margin %). · actualizado 2026

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Todo sobre Pricing Strategy (Cost-Plus & Margin)

📋Presentación+

This calculator builds a full unit cost from your variable unit cost plus fixed costs spread over expected sales volume, then prices it three ways: cost-plus (mark the full unit cost up by a percentage), target margin (solve for the price at which your desired margin ON PRICE is achieved), and break-even (the price that exactly recovers full unit cost with no profit or loss).

💡 Buenas prácticas

  • Don't confuse a 25% markup with a 25% margin — they produce different prices, and mixing them up in a quote or contract can quietly erode profitability.
  • If expected volume is uncertain, run the calculation at a conservative (lower) volume too — fixed costs spread over fewer units raise the full unit cost and the resulting price.
  • Revisit the pricing whenever unit cost or volume assumptions move materially — a price set on stale cost assumptions understates true margin.

🔢 Ejemplo concreto

£30 unit cost, no fixed cost allocation, 25% markup: cost-plus price of £37.50, giving £7.50 profit per unit.

📖Guía de uso+

Cómo usar esta calculadora

  1. 1

    Enter the variable unit cost and any fixed costs to allocate.

  2. 2

    Enter the expected sales volume used to spread fixed costs per unit.

  3. 3

    Enter a markup percentage to see the cost-plus price.

  4. 4

    Enter a target margin percentage (on selling price) to see the margin-based price.

📚Glosario+
Markup vs margin
Markup is added on top of cost (e.g. 25% markup on £10 cost gives £12.50), while margin is expressed as a percentage of the selling price (a 25% margin on a £12.50 price implies £9.38 cost) — the two numbers differ for the same price.
Full unit cost
Variable cost per unit plus a share of fixed costs, calculated by dividing total fixed costs by the expected sales volume — the true cost baseline before any markup or margin is applied.
ℹ️Fuentes y actualizaciones+
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Última actualización de datos

7 de julio de 2026

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Fuentes y referencias

Standard cost-plus / target-margin pricing methodology (management accounting) — price = full unit cost × (1 + markup %); price = full unit cost / (1 − target margin %).

Los datos de esta calculadora se actualizan periódicamente para reflejar los últimos baremos oficiales. En caso de duda, consulte las fuentes oficiales mencionadas arriba.

FAQ — Pricing Strategy (Cost-Plus & Margin)

Why is the margin-based price different from the cost-plus price at the same percentage?+

A markup percentage is applied to cost, while a margin percentage is applied to the selling price itself — a 25% margin on price requires a higher price than a 25% markup on the same cost, because the margin percentage is a share of a bigger number (the price, not the cost).

What happens if I leave the target margin at zero?+

The calculator skips the margin-based price calculation and shows only the cost-plus and break-even prices — set a target margin percentage above zero to see the price needed to hit that margin.

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