Calculate profit, profit margin and markup from cost and price.
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Understanding your result
Margin is profit as a share of the selling price; markup is profit as a share of cost. They are different numbers for the same sale.
Formula and method
Profit = Price − Cost. Margin% = Profit ÷ Price × 100. Markup% = Profit ÷ Cost × 100.
Worked example
A 40 cost sold for 100 yields 60 profit, a 60% margin and a 150% markup.
How to use this tool
- Enter the cost.
- Enter the selling price.
- Press Calculate.
Common mistakes to avoid
- Confusing margin with markup — they are not the same.
About the Profit Margin Calculator
Find your profit, profit margin and markup from a product’s cost and selling price.
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Frequently asked questions
Margin vs markup?
Margin divides profit by the selling price; markup divides profit by the cost. Markup is always the larger percentage.