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Real-time shipping calculation Information about if shopping carts have real-time shipping calculation built-in to allow calculating how much it will cost to ship an order in real time when the customer checks out an order.
Many shipping services, especially air carriers, use dimensional weight for calculating the price, which takes into account both weight and volume of the cargo. For example, bulk coal long-distance rates in America are approximately 1 cent/ton-mile. [2] So a 100 car train, each carrying 100 tons, over a distance of 1000 miles, would cost $100,000.
Some retailers use markups because it is easier to calculate a sales price from a cost. If markup is 40%, then sales price will be 40% more than the cost of the item. If margin is 40%, then sales price will not be equal to 40% over cost; in fact, it will be approximately 67% more than the cost of the item.
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For example, a box of clothing shipped internationally which weighs 10 pounds and measures 18 × 18 × 18 inches would be charged as if it weighed 36 pounds: (18 x 18 x 18)/166 = 35.1 pounds which is then rounded up to 36 pounds for shipping cost purposes.
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