Costing calculator
Quote Margin Calculator
Check whether the quoted selling price covers cost and target margin before committing to production pricing.
What this calculator does
- Calculate gross margin, markup, target price, and margin gap for a manufacturing quote.
- Use before sending a quote or deciding whether a requested price meets the target margin.
- Calculate gross margin, markup, target price, and margin gap for a manufacturing quote.
Formula used
- Gross margin = (price − cost) ÷ price
- Markup = (price − cost) ÷ cost
- Target price = cost ÷ (1 − target margin)
- Gross profit = (price − cost) × volume
Inputs explained
- Unit cost: undefined
- Selling price: undefined
- Target margin: undefined
- Quote volume: undefined
How to use the result
- Use before sending a quote or deciding whether a requested price meets the target margin.
- This is a planning calculator. Validate assumptions against your process data before using the result as a final quote, schedule, or engineering decision.
Common questions
- Which inputs usually drive the quote margin result? unit cost, selling price, target margin, and quote volume usually have the biggest effect. When one of those assumptions changes, rerun the calculator and compare the new % result before updating the plan.
- What does the quote margin calculator do? Calculate gross margin, markup, target price, and margin gap for a manufacturing quote.
- What inputs do I need for the quote margin calculator? You need unit cost, selling price, target margin, and quote volume. Use measured values from your line, quote package, supplier data, or current production plan whenever possible.
- How should I interpret the quote margin result? Treat the % output as a planning estimate for costing work. Compare it against process history, quoted assumptions, and operating limits before making final decisions.
Last reviewed 2026-05-12.