Product One Sales volume? Selling price? $ Cost of goods sold? $ Product Two Sales volume? Selling price? $ Cost of goods sold? $ Product Three Sales volume? Selling price? $ Cost of goods sold? $ Product Four Sales volume? Selling price? $ Cost of goods sold? $ Product Five Sales volume? Selling price? $ Cost of goods sold? $ Product Six Sales volume? Selling price? $ Cost of goods sold? $ Printer-friendly version Gross Margin Analysis Average Sale Price Average Cost of Goods Sold Average Gross Profit Gross Margin Chart Table Gross Margin Analysis Margin Category Amount Percent Gross Margin Cost of Goods Sold Average Sale Price Submit The gross margin of a product is measured by subtracting the cost of goods sold from the selling price. The cost of goods sold includes all costs associated with producing the goods or services sold by a company. Gross margin percentage is obtained by dividing gross margin by sales revenue. Many companies offer multiple products, so properly understanding overall gross margin is often an exercise in understanding how various unit sales, price points and costs for each product or service contribute to the overall business.