How do you do profitability analysis in Excel?

Create a worksheet with four rows and five columns. The first column for items name, second for cost price, third for the selling price, and lastly, the fourth one for the profit margin. Add values in corresponding cells and select cells d2 to d5. Enter the formula =1-(b2 {cost price} /c2 {selling price}). Apply the formula by pressing Ctrl + Enter to the selected cell range. There you go, now you have the profit margin for your items.

Note: The rows and columns in your sheet can be different. Keeping the same method is important to conduct the profitability analysis in Excel successfully.