what is the Difference between Cost price and purchase Price?PLease give some small example.
Thanks
what is the Difference between Cost price and purchase Price?PLease give some small example.
Thanks
the cost you pay to assemble/manufacture the finished item is your cost price; price at which you buy the components or resalable item from your vendor is your purchase cost. you may buy same/similar components at different price from another vendor(s).
at basics - say you buy mother board at $100; Monitor for $150; speakers and other parts necessary to make the computer all comes to $175;
you pay $50 for tech to assemble the PC - Overheads cost your another $25. so your total cost is $500 including the labor you pay;
you want to sell this PC at 20% margin - $600 - sale price.
Thanks Patrick.