Markup & Margin Calculator

This calculator supports two workflows:

1. Find your markup: Enter the cost price and selling price. The calculator will determine your markup percentage, gross margin, profit per unit, and projected revenue.
2. Set your selling price: Enter the cost price and your desired markup percentage (leave selling price at 0). The calculator will determine the appropriate selling price and related metrics.

If both selling price and markup percentage are provided, the selling price takes priority.

Markup is the amount added to the cost price of a product to determine its selling price. Expressed as a percentage, markup represents how much more than the cost you charge your customers. It is a fundamental concept in retail, wholesale, and service-based pricing.

Gross margin, often confused with markup, expresses profit as a percentage of the selling price rather than the cost. Both metrics are important for understanding profitability, but they serve different purposes in financial analysis and pricing strategy.

Key formulas used in this calculator:

• Markup % = ((Selling Price - Cost) / Cost) × 100
• Gross Margin % = ((Selling Price - Cost) / Selling Price) × 100
• Selling Price = Cost × (1 + Markup% / 100)
• Profit per Unit = Selling Price - Cost

Example 1: Cost = $25, Selling Price = $40. Markup = (15/25) × 100 = 60%. Gross Margin = (15/40) × 100 = 37.5%. Profit per unit = $15.

Example 2: Cost = $50, Markup = 80%. Selling Price = $50 × 1.80 = $90. Profit per unit = $40. Gross Margin = 44.4%.