How to Calculate Markup
What is Markup?
A markup calculator computes selling price, profit, and markup percentage. Markup is calculated on cost; gross margin is calculated on selling price — they are not the same percentage.
Formula
Step-by-Step Guide
- 1Markup % = (Selling − Cost) / Cost × 100
- 2Selling price = Cost × (1 + Markup/100)
- 3Margin % = (Selling − Cost) / Selling × 100
- 450% markup = 33.3% margin
Worked Examples
Frequently Asked Questions
What is Markup?
A markup calculator computes selling price, profit, and markup percentage. Markup is calculated on cost; gross margin is calculated on selling price — they are not the same percentage
How accurate is the Markup calculator?
The calculator uses the standard published formula for markup. Results are accurate to the precision of the inputs you provide. For financial, medical, or legal decisions, always verify with a qualified professional.
What units does the Markup calculator use?
This calculator works with inches, percentages. You can enter values in the units shown — the calculator handles all conversions internally.
What formula does the Markup calculator use?
The core formula is: Markup % = (Selling − Cost) / Cost × 100. Each step in the calculation is shown so you can verify the result manually.
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