How to use this calculator
Enter the cost and selling price for the same unit or batch. The result shows profit and both percentages with their different denominators.
The math behind it
Gross profit = selling price − cost Markup % = gross profit ÷ cost × 100 Margin % = gross profit ÷ selling price × 100
A worked example
An item costing 80 and selling for 100 has 20 gross profit, 25% markup and 20% margin.
Assumptions & precision
Nonnegative cost and price; selling below cost produces negative profit and percentages. Markup is undefined at zero cost, and margin is undefined at zero selling price. Gross profit excludes overhead, tax, payment fees and other expenses unless included in your inputs. Currency changes display only; no exchange-rate conversion. Money is rounded only for display using the currency’s fractional digits. Results above 10¹⁵ are rejected.
A common question
Is a 25% markup a 25% margin?
No. A 25% markup on 80 adds 20, making a selling price of 100. Profit is then 20% of that selling price.