Tag: Markup
-
Hard and Soft Costs With Construction
A contractor must understand the difference between hard and soft costs in order to properly markup assignable costs to determine the final sales price.
-
Markup in Construction – Fundamental Understanding
Markup in construction has a very simple definition, it is the amount added onto costs to create a sales price. Notice something really important with that definition, it does not define profit.
-
Markup Percentage for Remodelers
In the construction industry, remodelers face a different set of criteria than your traditional new home builder. Because of these issues the markup percentage on costs is generally much higher than other forms of construction.
-
What is ‘Cost of Goods Sold’?
Simply put, ‘cost of goods sold’ equals the direct costs of materials, human resources, and equipment needed to produce the item sold. However, this can be confusing because there are many marginal cost items that affect the real cost of producing and selling the item.
-
What is the Difference between Markup and Margin?
It is amazing how one simple formula can be so confusing to the average business owner. The formula is markup. It is defined as the dollar amount or percentage of the cost of the item added to the item to equal its sales price.