Blended Margin Calculator

Blended Margin Calculator calculator can be used to calculate the blended margin of two products based on their individual margins and quantities.

Input Parameters

Calculation Results

Calculation Formula

Blended Margin = (Product 1 Margin * Product 1 Quantity + Product 2 Margin * Product 2 Quantity) / (Product 1 Quantity + Product 2 Quantity)

Where:
Product 1 Margin: Margin percentage of Product 1
Product 1 Quantity: Quantity of Product 1
Product 2 Margin: Margin percentage of Product 2
Product 2 Quantity: Quantity of Product 2

Blended Margin Result (%)

Blended Margin Calculator Calculator Usage Guide

Learn how to use the Blended Margin Calculator calculator and its working principles

How to Use the Calculator

  1. Enter the margin percentage and quantity for Product 1.
  2. Enter the margin percentage and quantity for Product 2.
  3. Click the "Calculate" button to compute the blended margin.
  4. The blended margin result will be displayed in the result field.

Working Principle

The blended margin is calculated by taking the weighted average of the individual margins of the two products. The formula used is:

Blended Margin = (Product 1 Margin * Product 1 Quantity + Product 2 Margin * Product 2 Quantity) / (Product 1 Quantity + Product 2 Quantity)

This formula ensures that the blended margin reflects the proportionate contribution of each product to the total quantity.