Calculating to Price for a component that has a Hardware margin/markup and a Global margin/markup.
Unit Cost = Max(Min Unit Cost, Raw Unit Cost)
Unit Adjusted Cost = Unit Cost * Hardware Markup
Unit Price = Round(Unit Adjusted Cost * Markup)
Example 1
Hardware Margin = 15%
Margin = 20%
Raw Unit Cost = $1.50
Min Unit Cost = $2.50
Unit Cost = Max($1.50 , $2.50) = $2.50
Unit Adjusted Cost = $2.50 / (1 - 0.15) = $2.50 / 0.85 = $2.94117
Unit Price = Round($2.94117/(1 - 0.2)) = Round($2.94117 / 0.8) = Round($3.67647) = $3.68
Example 2
Hardware Markup = 15%
Markup = 25%
Raw Unit Cost = $1.50
Min Unit Cost = $2.50
Unit Cost = Max($1.50,$2.50) = $2.50
Unit Adjusted Cost = $2.50 * (1 + 0.15) = $2.50 * 1.15 = $2.875
Unit Price = Round($2.875 * (1 + 0.25)) = Round($2.875 * 1.25) = Round($3.59375) = $3.59