Calculate markup percentage, selling price, and gross profit margin from cost or price inputs.
on cost
| Selling Price | $70.00 |
| Profit per Unit | $20.00 |
| Markup % | 40.00% |
| Gross Margin % | 28.57% |
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Markup % = (Selling Price − Cost) / Cost × 100
Margin % = (Selling Price − Cost) / Selling Price × 100
Selling Price = Cost × (1 + Markup%)
Markup is profit divided by cost. Margin is profit divided by selling price. A 50% markup on $10 cost = $15 price; the margin is 33%.
Retail typically uses 50–100% markup. Restaurants use 200–400%. Services range widely. Factor in overhead and competition.
Selling Price = Cost × (1 + Markup%). For a 40% markup on $25: $25 × 1.40 = $35.
Markup % = (Profit / Cost) × 100. Margin % = (Profit / Price) × 100. They are related but not the same.
Calculations are for educational purposes only. Consult a qualified financial advisor for personalized advice.