Profit Margin Calculator
Find profit, margin and markup from cost and price, or the price that gives a target margin.
Markup Calculator
Runs on your device Processed locally in your browser. Nothing is uploaded.
Work out selling price, markup or cost from the other two, in ₹ with every step shown.
Result
Enter the values above to see the result.
How to use
- Choose what to calculate: the selling price from cost and markup, the markup from cost and selling price, or the cost from selling price and markup.
- Enter the two known values. Amounts are in ₹.
- Read the result. Profit and margin are shown too, with the working.
- Copy or print the result.
Method
- Selling price from markup = cost × (1 + markup ÷ 100).
- Cost from price and markup = selling price ÷ (1 + markup ÷ 100).
- Profit = selling price − cost.
- Markup % = profit ÷ cost × 100.
- Margin % = profit ÷ selling price × 100.
The rule is round money first, then percentages. Cost and selling price are rounded to two decimal places (half-up) first. Profit is calculated from those rounded amounts, and markup and margin are calculated from the rounded profit and amounts, then rounded to two decimal places. The figures you see therefore always reconcile: profit is exactly the selling price minus the cost as displayed.
Worked example
A cost of ₹200 with a 25% markup:
| Input | |
|---|---|
| Calculate | Price from cost & markup |
| Cost | ₹200.00 |
| Markup | 25% |
| Result | |
| Selling price | ₹250.00 |
| Markup | 25.00% |
| Cost | ₹200.00 |
| Profit | ₹50.00 |
| Margin | 20.00% |
FAQ
What is the difference between markup and margin?
Markup compares profit with the cost; margin compares it with the selling price. A cost of ₹200 with a 25% markup gives a selling price of ₹250 and a profit of ₹50 — a 25% markup (50 ÷ 200) but a 20% margin (50 ÷ 250). For a profitable sale, markup is always higher than margin. To start from a target margin instead, use the Profit Margin Calculator.
Can markup be more than 100%?
Yes. A 100% markup doubles the cost, and a 150% markup sells at two and a half times the cost. Margin can never exceed 100%, but markup has no upper limit.
What does a negative markup mean?
A negative markup means you are selling below cost, at a loss. For example, a cost of ₹100 and a selling price of ₹80 give a profit of −₹20 and a markup of −20%. A markup of −100% or lower has no meaning, because the price would be zero or negative.
Why is there no markup when the cost is zero?
Markup divides the profit by the cost, so it cannot be calculated when the cost is zero. The tool still shows the profit and margin.
Does this include GST?
No. Enter cost and selling price on the same basis, normally both excluding GST. To add or remove GST, use the GST Calculator.
Is this pricing, tax or accounting advice?
No. The calculator does the arithmetic and shows every step so you can check it. Confirm prices, tax treatment and accounting figures with your accountant before you rely on them.
References
- Standard definitions: markup = profit ÷ cost; margin = profit ÷ selling price.