Simple methods to Compute the Price of the Gold Prices Per Gram

It is actually recommended that you compute the value of your precious metal jewelry by yourself before you distribute it into one of the gold-buying agencies. This will help you select whether the amount of money that they present you is reasonable or not.

There is a comparatively easy equation to determine the value of your gold jewelry. There are only three points in the formula. The full formula is:

(karats ÷ 24) x (price of gold prices per gram) x (weight of your item in grams)

The initial process you have to conduct is determine the type of gold that you have, calculated in karats. Many items will be engraved or labeled with the karat rating. You will require to use a magnification device to view it, as it is generally quite small. Take the karat rating and divide by 24. This will give you the primary factor of the equation. The most frequently used karat ratings are 1k, 8k, 9k, 10k, 14k, 15k, 18k, 20k, 22k, and 24k. Each karat is equivalent to 1/24th pure gold, with 24 karat gold being 99.9% pure.

After that, you need to get the current amount of gold prices per gram, which is definitely changing up and down. You should be able to determine this quite easily online. It will often be mentioned as a price "Gold Price Per Gram", so you will need to divide that price by 31.1 to get the gold price per gram. This is your 2nd factor.

At this time you should have to determine your gold. Use a precise scale, preferable a digital one. You will need to get the weight in grms. If your scale only does ounces, you can multiply the number of ounces by 28.35 to arrive at the weight in grams. This is the 3rd and final point that you need.

Let's go through an example:

You have 10 grams of 14k gold and the current price of gold is $850 per troy ounce.

The equation would look like this:

(14 ÷ 24) x ($850 ÷ 31.1) x (10) or, more simply .5833 x 27.33 x 10

The result is $159.42.

Something that can further complicate things is that some people value gold using pennyweight (which is abbreviated DWT) instead of using grams. Converting grms to pennyweight is only a matter of separating the weight in grams by 1.555.

Another thing to be aware of is that if your pieces of jewelry has got any jewels, they need to be valued separately. They also require to be removed before you can get a proper weight reading. The formula described here only figures the actual gold. It doesn't account for any precious gems or other precious metals that might be combined with the gold such as silver or platinum.