1. What is the 14k Gold Price Formula?

The 14k gold price formula calculates the selling price per gram for 14 karat gold based on the current spot price and a scrap factor. It accounts for the gold purity (14 parts gold out of 24) and market conditions.

2. How Does the Calculator Work?

The calculator uses the following equation:

Where:

• \( \frac{14}{24} \) — Represents the gold purity (58.3% gold)
• \( Spot\ Price \) — Current market price of pure gold per gram
• \( Scrap\ Factor \) — Percentage of spot price buyers will pay (typically 0.7-0.9)

Explanation: The equation first calculates the actual gold content in 14k gold, then applies the current market price, and finally accounts for the discount buyers apply when purchasing scrap gold.

3. Importance of Accurate Calculation

Details: Accurate calculation helps sellers understand the fair market value of their gold items and avoid being underpaid when selling jewelry or scrap gold.

4. Using the Calculator

Tips: Enter the current spot price of gold (per gram) and a scrap factor between 0 and 1 (typically 0.7-0.9). All values must be valid (spot price > 0, scrap factor between 0-1).

5. Frequently Asked Questions (FAQ)

Q1: Why is the scrap factor less than 1?
A: Buyers typically pay less than spot price to account for their costs, risks, and profit margin when purchasing scrap gold.

Q2: Where can I find the current spot price?
A: Spot prices are available from financial news websites, commodity exchanges, and many gold dealer websites.

Q3: What's a typical scrap factor?
A: Most reputable buyers offer 70-90% of spot price, depending on market conditions and the form of your gold.

Q4: Does this work for jewelry with stones?
A: No, this calculator is for pure gold content only. Jewelry with stones would need additional valuation.

Q5: How does karat affect the price?
A: Higher karat gold (18k, 24k) contains more pure gold and thus commands higher prices per gram.