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ptr-pts-calculation

PTR PTS Calculation

How to calculate PTR ?

Formula to Find PTR To calculate the PTR first we have to calculate Net Margin and GST Factor.
Net Margin (It is Inclusive of GST) To calculate the Net margin directly minus the Retail % from MRP
Net Margin = MRP - Retail %

GST factor (Which is useful to minus GST amount from net margin)
GST Factor = 100 + GST% / 100
PTR = Net margin / GST Factor
How to calculate PTS ? Formula to Find PTS
PTS = PTR - Stockist %
Example Suppose,
MRP = 100
Retail % = 20 %
Stockist % = 10%
GST% = 12 %
Net Margin = MRP - Retail %
100 - 20% = 80
GST Factor = 100 + GST% / 100
100 + 12 / 100 = 1.12
PTR = Net margin / GST Factor
80 / 1.12 = 71.42
PTS = PTR - Stockist %
71.42 - 10% = 64.28
Special Instruction to calculate PTR and PTS.
TO calculate Net margin of any given MRP, minus the Retail % from MRP.
To find correct Net margin of any MRP please calculate like this.
Net Margin = MRP - Retail %
So always calculate PTR and PTS as per the above explanation only.