TheRob
19 hours agoExperienced User
GP based on GST excl. sell and GST incl. cost
Have I done something wrong in my MYOB setup?
When I look at Business Insights Item Profit margin it shows the Sell Price excluding GST, but the Buy price is Inclusive of GST. The screen shots below all relate to the same product.
If I buy this product for 74.569 including tax, that means it’s 67.79 excluding GST
If I then sell it for 97.20 + GST my GP is 29.41
According to my calculator that means my % profit on sell price is 29.41 / 97.20 = 30.26%
According to MYOB I have made 22.631 profit which is 22.631 / 97.2 = 23.3% profit.
Can MYOB be setup to show GP exclusive of GST?