Thank you thank you. I forgot about the rounding.

Sadly to say, that little silly formula (or mathematical fluke) right there is not known to most small business men...even accountants. They want a 30% net to the COG bottom line, so they add $30 bucks to a $100 item, when they should be charging $142.20.

I just had a heated argument with the Controller of a $60,000,000 company regarding the above mark-up of items and that exact equation since the last post.

She kept arguing that determining the initial cost of an item using either "Gross Profit Margin" or "percentage Mark-up" isn't any different since it doesn't translate to the general ledger. Jesus...no wonder we're in this big financial mess.