Margin and Markup
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If we have BUY and SELL prices, then:
PROFIT = SELL - BUY.
- Margin = PROFIT / SELL x 100.
- Markup = SELL / BUY x 100 - 100.
In other words:
- Margin = PROFIT's part in the SELL price, or the part profit makes up in the sell price.
- Markup = the increase from the BUY price to the SELL price, or how much the SELL price has increased from the BUY price, in percent.
Negative Markup
There is a special case when Markup could become negative.
It happens when DID Provider pays to System Owner (admin) for a call to the DID. For incoming calls, when the Provider rate is greater than zero (Provider Rate is > 0), this rate is paid to the system owner by the Provider.
It represents a profit for the system owner.
Example CDR:
DID billing Provider rate: 100.
Billsec: 14
Price: 23.333
In this case Provider price (self cost) is -23.333, because provider pays to admin. This is the reason why Markup become negative.
