Can I easily calculate my profit margin on an item?
Yes! Studio makes it easy to calculate your true profit by tracking all of your costs in one place.
How profit is calculated
In the Pricing & Quantity section for your item, you’ll see a Total Cost of Goods Sold (COGS) and an Estimated Profit field that updates automatically based on the pricing and costs you enter for your item.
First, enter all costs associated with the item, including your Purchase Price and any additional expenses such as restoration, services, transportation, photography, or taxes. You can also add the provider name or notes for each cost to keep your records organized.
You can add as many costs as needed, and Studio will automatically total them into your Cost of Goods Sold (COGS).
Next, enter your Retail Price. Studio will then calculate your Estimated Profit by subtracting your total costs from your retail price, giving you an accurate picture of what you’ll make on that item.
Easy to add and update costs
You can add unlimited costs to each item. Need to include another restoration charge or service fee? Just click Add Another Cost. Want to remove one? Simply click the delete icon and Studio recalculates your profit instantly.
Note on Quantity and Reporting
The Available Quantity field does not affect the profit calculation itself. All costs and profit calculations are based on a single item. (If multiple items are sold together as a set, the set counts as one item.)
However, quantity does affect your Stock Retail Value on the dashboard. For example:
- If your retail price is $2,000 and your quantity is 1, your stock retail value is $2,000.
- If your quantity is 3, your stock retail value will reflect $6,000.
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