Cost Plus Markup or Margin pricing is used when you want to enter a cost and a markup or margin to calculate a product price instead of having a fixed product price. This is useful in cases where you may be buying products and reselling them at a markup.
Cost Plus Markup or Cost Plus Margin pricing can be applied to products of any recurrence type.
When a product with cost plus markup or margin pricing is added to a quote table, the default % is 0. You can choose to add either a fixed dollar markup or a % markup.
If you use fixed markup, the price is simply the cost plus the fixed markup or the cost plus the fixed margin. If you use % markup, the price is the cost * (1+markup percentage/100). If you use % margin, the price is the cost / (1-margin percentage / 100)
So, in the case below, the cost is $2000 and the markup is 50%, so the price is $2000*(1+50/100) = $3000.
If you want to have a default markup or margin applied to every cost plus product on the quote table, then you can toggle Default Markup on in the Quote Settings. This can be either in a template or a proposal.
Turning the Default Markup or Default Margin toggle on enables an editable setting at the top of the quote editor for the default either in terms of fixed or percentage.
This markup or margin is applied to all new items added to the quote table after the default is set.
You can also bulk edit the markup or margin or items on the quote using the bulk edit functions in the top navigation on the quote editor:
Note that Volume Pricing cannot be applied to Cost Plus Markup or Cost Plus Margin products. Any volume pricing that is entered on the product record will be ignored if the product is Cost Plus Markup.