Table 4 - Sample Cost-Plus Calculation of Product Cost
| Domestic Sale | Export Sale | |
| Factory price | $7.50 | $7.50 |
| Domestic freight | .70 | .70 |
| subtotal | 8.20 | 8.20 |
| Export documentation | .50 | |
| subtotal | 8.70 | |
| Ocean freight and insurance | 1.20 | |
| subtotal | 9.90 | |
| Import duty (12 percent of landed cost) | 1.19 | |
| subtotal | 11.09 | |
| Wholesaler markup (15 percent) | 1.23 | |
| subtotal | 9.43 | |
| Importer/distributor markup | 2.44 | |
| subtotal | 13.53 | |
| Retail markup (50 percent) | 4.72 | 6.77 |
| Final consumer price | $14.15 | $20.30 |
Back to Pricing, Quotations, and Terms
More about Exporting:
Introduction
Developing an Export Plan
Developing a Market Plan
Export Advice
Methods/Channels
Making Contacts
Technology Licensing /Joint Ventures
Preparing Your Product for Export
Service Exports
International Legal Considerations
Shipping Your Product
Pricing, Quotations, and Terms
Methods of Payment
Financing Export Transactions
Selling Overseas
After-sales Service
