Audit the model

Methodology & Sources

Every calculator output has a visible formula, a defined cost boundary, and a limitation. This page records what the model includes, what it leaves out, and which primary sources support the terminology.

Last formula reviewSeptember 1, 2026Version 1.0

Editorial principles

Transparent arithmetic before performance claims

01

Keep ROAS and profit separate

Attributed revenue efficiency is never labelled net profit or total business ROI.

02

Show the cost boundary

Margin-based outputs state that fixed and unentered costs remain outside the result.

03

Avoid universal benchmarks

The site does not assign generic poor, good, or excellent ROAS bands.

04

Expose substituted formulas

The calculator shows the user's values inside the arithmetic so the result can be checked.

Core formulas

What each output calculates

ROAS

Attributed revenue ÷ ad spend

Displayed as a multiple and percentage. A 4.00× ROAS is also 400%.

Required attributed revenue

Ad spend × target ROAS

A planning target only. The result is not a forecast or guarantee.

Contribution margin from cost rates

1 − COGS rate − fulfilment rate − fee rate − refund rate

All rates are proportions of the same revenue base. The form rejects totals at or above 100%.

Break-even ROAS

1 ÷ contribution margin before ads

The threshold covers ad spend within the entered contribution boundary, not every business cost.

Estimated contribution after ads

Attributed revenue × contribution margin − ad spend

Fixed overhead, salaries, tax, financing, and other unentered costs are excluded.

Contribution return

Estimated contribution after ads ÷ ad spend

A scoped operating measure used by this calculator; it is not presented as total business ROI.

CPA

Ad spend ÷ attributed actions

The action must be defined consistently, such as a purchase, lead, or sign-up.

Paid-media CAC

Ad spend ÷ new customers

Media-only acquisition cost, not full customer acquisition cost.

Validation

Input and rounding rules

Input or outputRuleReason
Ad spendMust be greater than zero.Prevents division by zero or an infinite ROAS.
Attributed revenueMust be zero or greater.Supports a zero-revenue campaign without accepting negative revenue.
Target ROASMust be greater than zero.Keeps the target-revenue calculation meaningful.
Contribution marginGreater than 0% and no more than 100%.A zero or negative margin has no finite positive break-even ROAS in this model.
Detailed cost ratesEvery field required; each 0–100%; total below 100%.Prevents blank values from silently becoming zero and avoids non-positive derived margin.
CurrencyFormatting only; no exchange-rate conversion.All inputs must already use the same currency.
Display roundingMoney uses the selected currency; ratios and percentages use up to two decimals.Calculations retain JavaScript numeric precision before display formatting.
Break-even statusAmounts within half a currency cent are treated as equal.Avoids a false above/below label caused only by floating-point fractions smaller than displayed currency precision.

Attribution boundary

Reported revenue is not automatically incremental revenue

Advertising platforms can use different conversion events, lookback windows, attribution models, and view-through rules. The calculator accepts the attributed value you enter; it does not verify causal lift or reconcile duplicated credit across platforms.

For a fair comparison, use the same event, reporting dates, attribution window, and as similar an attribution scope as practical. Avoid adding platform-reported values together without checking for overlapping credit.

Source: Google Ads platform-comparable conversion methodology.

Calculator data

Browser-side processing

The launch calculator has no account, upload, database, advertising tag, or analytics tag. Calculator values are processed by client-side code in the browser and are not intentionally submitted or stored by this site. The copy button writes a text summary to the browser clipboard only after the user selects it.

Cloudflare hosts and delivers the static files and may process ordinary technical request data as part of that service. See the site's Privacy page and Cloudflare privacy policy.

Primary sources

Terminology and formula basis

Competitor pages and Google result screenshots informed interaction expectations and query intent only. Their wording, code, layouts, images, ratings, creator profiles, and benchmark claims were not copied or used as factual sources.