You probably should define a base.
Unit Price = Unit Cost + Unit Margin
Total Profits = Total Sales - Total Costs
If I could get some help with this -
If you raise prices 1%, increase sales 1% and cut costs 1%, by what percentage will profits increase?
I would like the formula that proves the correct answer so I can understand how it works.
Thanks!
Lets say the Unit Cost is $1.00 and sells at $2.00.
Total sales = $100.00 and Cost = $50.00
Profit = $50.00
So from here - If you raise prices 1%, increase sales 1% and cut costs 1%, by what percentage will profits increase?