# NexxTech 6500542 User Manual

## Page 8 8

Operation

The Gross Profit Margin (GPM) is the
percentage of the sales price that is
profit.

Price – Cost

––––––––––– × 100 = GPM

Price

Example 1: What is the original cost
of an item selling for \$200 with a
gross profit margin of 33%? What is
the profit?

You Press

You See

200 M+ × 33 +/– MU

M 134

M–

M 134

MR

M 66.

Example 2: What is the gross profit
margin of an item costing \$100 that
sells for \$150? What is the profit?

You Press

You See

100 M+ – 150
MU

M –
33.3333333333

150 M–

M 150

MR

M –50.

Note: Disregard the minus (–) signs
and read the gross profit margin as
33.3333333333% and the profit as
\$50.

You can also easily calculate an
item’s discounted selling price, an

item’s final price with sales tax, and
the profit.

Example 3: What is the final price of
an item costing \$70 with 5% sales
tax? How much is the sales tax?

You Press

You See

70 × 5 MU

73.5

– 70 =

GT 3.5

Example 4: What is the final price of
an item selling for \$70 marked down
25%? How much is the discount?

You Press

You See

70 × 25 +/– MU

52.5

– 70 =

GT –17.5

Note: Disregard the minus (–) sign
and read the discount as \$17.5.

Example 5: Calculate the selling
price of an item costing \$100 with a
50% gross profit margin. What is the
profit?

You Press

You See

100 ÷ 50 MU

200

– 100 =

GT 100

Note: You cannot use the

MU

func-

tion when

F 0 2 3 4 A

is switched to

A

,