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Barradevil

642 Posts.

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12/06/21

19:48

Post #: 53814642
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Originally posted by Barradevil: ↑

Just a thought. I understand every industry is different however a general markup for each participant may go something like this; Manufacturer ( M) wants a 35% mark up, so does the distributor (D). Then the retailer (R) wants 60-100%. So if we agree that WFL are the manufacturer (only in this case), then Bork is the distributor/retailer.

So according to the above $2 mil sales (for WFL), means a 35% markup would mean that WFL's (M) cost of goods = $1.481,148. and profit = $512,518 on this particular deal. Which means that Bork will sell approx $5.4 mil in products. ie $2 mil x 1.35% = $2.7 mil x 100% =
$5.4 mil

These figures can and will vary depending on actual deal but gives some indication of profitability not revenue.

This was concluded quite quickly over a wine or 2, so please correct me if i am wrong. Yours Wellfully, Barradevil.

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Sorry didn’t meant to reply to you…my post was a general post for all to consider

WFL Price at posting: 5.7¢ Sentiment: Buy Disclosure: Held
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