how to value gold jewellery what should you pay ?
 

I was given the following formula but can't get it work maybe i am doing something wrong.....can you help me ?

" THE CALCULATION��If you divide the price of gold (usually quoted in US$) by 31.103 you get the price for 1 gram of pure gold in US dollars. Convert that to your own currency. Again your newspaper can provide you with the info you need. Once you have a price per gram in your own currency it�s easy to do the last bit. Multiply that number by the percentage gold (see above) and then multiply by the weight "

what is the price of gold at present ? on what site do you find it ?:withstupi

Many Thanks

Nadsy

Re: how to value gold jewellery what should you pay ?
 

Kitco live gold:
http://www.kitco.com/charts/livegold.html

If you have the right color scheme for this page, then you'll get the kitco quotes in the rop right. There's also the Gold/Silver link that goes to Netdania quotes.

For jewellry, there's two additional considerations. The first being the purity. 8 karat gold is 8/24 pure, 14 is 14/24. Jewerly usually has some little stamp to tell you the purity, although you can buy a set of things on ebay to put in your own stamps, so don't be too trustworthy. If it says 22kt and it looks dark like 8kt... pay for 8kt.

There is also the consideration of what you can sell it for. People usually don't pay 100% gold value for jewerly. If you, or they, want it refined, the refiner is gonna take a 2-10% cut. No point buying a ring at 97% of the gold value if you can only sell it for 92%. Call it a middleman factor.

So, a more complete forumula would be, (Grams of metal) * (Price of gold)/31.1 * (purity/24) * (middleman factor).

So for a 10 gram ring at 14 kt, where your dealer/refiner pays 95%...

10 * (690/31.105) * (14/24) * (0.95) = 123... so don't pay more than $123 for that ring.