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What is the difference between Profit=Price-Cost VS Price=Cost+Profit?

Posted on by 4,357
Hi Community,
 
I would like to find out at Items List, there is this field called Price/Profit Calculation.
 
May I ask if there is any difference between Profit=Price-Cost VS Price=Cost+Profit ?
 
Although I see that the relationship seems the same, where can I get some information on what other combinations are there for this field?
 
 
Thank you !
  • Suggested answer
    YUN ZHU Profile Picture
    YUN ZHU 73,378 Super User 2024 Season 2 on at
    What is the difference between Profit=Price-Cost VS Price=Cost+Profit?
    Hi, here is the difference between them calculated in the code, hope this helps as well.
     
    Thanks.
    ZHU
  • Suggested answer
    Valentin Castravet Profile Picture
    Valentin Castravet 24,749 Super User 2024 Season 2 on at
    What is the difference between Profit=Price-Cost VS Price=Cost+Profit?

    This field specifies the relationship between the Unit Cost, Unit Price, and Profit Percentage fields for an item. You can use it in one of three ways:

    1. Calculate Unit Price from Profit %: To enable this, set Price/Profit Calculation to 'Price = Cost + Profit'. Enter a Profit %, and the system will calculate the Unit Price based on the Profit % and Unit Cost fields.
    2. Calculate Profit % from Unit Price: To enable this, set Price/Profit Calculation to 'Profit = Price - Cost'. Enter a Unit Price, and the system will calculate the Profit % based on the Unit Price and Unit Cost fields. 
    3. No Relationship: Select 'No Relationship' in the Price/Profit Calculation field. This allows you to manually enter values for both the Unit Price and Profit % fields without automatic calculations.

     

    Valentin Castravet
    Work: Zander ERP Services
    Blog: Dynamics 365 Business Central Insights
    LinkedIn: www.linkedin.com/in/valentin-c-0500a247/

     

  • Suggested answer
    Muhammad.Affan Profile Picture
    Muhammad.Affan 4,442 on at
    What is the difference between Profit=Price-Cost VS Price=Cost+Profit?
    Hi There,
     
    This link may provide some insights:
     
     
    Thanks
    Affan
    If my suggested answer has helped, please mark it as verified.
     
  • gdrenteria Profile Picture
    gdrenteria 12,093 Most Valuable Professional on at

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