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Business
Markup & Margin Calculator
Calculate markup percentage, profit margin, selling price, or cost from any two known values. Understand the difference between markup and margin.
Enter cost and selling price to calculate markup %
Frequently asked
questions
Markup is the percentage added to the cost to arrive at the selling price (profit รท cost ร 100). Margin is the percentage of the selling price that is profit (profit รท price ร 100). A 50% markup results in only a 33.3% profit margin.
Markup % = (Selling Price โ Cost) รท Cost ร 100. For example, if you buy a product for $50 and sell it for $75, the markup is ($75โ$50)รท$50ร100 = 50%.
It depends on the industry. Retail typically aims for 20โ50% gross margin. Software businesses may achieve 70โ90% gross margins. Food service often runs 5โ15% net margin. Compare your margin to industry benchmarks.