When to use this calculator
Calculate how much a selling price exceeds cost as a percentage of cost. Markup uses cost as the base; margin uses revenue.
Explore the pricing & break-even calculators for other questions in this topic. For a related calculation, use the Price After Markup Calculator: Calculate selling price from a chosen cost-based markup.
PUTTING IT INTO PRACTICE
Markup: a worked example
The values below are an illustrative example, not a recommendation. Replace them with measurements or assumptions that match your question.
| Input | Example value |
|---|---|
| Cost | 50 |
| Selling price | 80 |
| Result | 60 % |
- Check the input labels and enter the example values above.
- Apply the relationship: Markup (%) = (price − cost) ÷ cost × 100.
- The result is 60 %, rounded for display.
How to interpret your result
Markup uses cost as the base; margin uses revenue.
Margin uses sales revenue as its denominator, while markup uses cost. Contribution deducts variable costs before fixed costs. Break-even calculations assume the same prices, variable costs and product mix remain in place.
Frequently asked questions
Why are margin and markup percentages different?
They use different bases. The same monetary profit is divided by selling price for margin and by cost for markup.
How do I use the markup calculator?
Enter cost, selling price. The result updates automatically. Use the units shown beside each input; the example values illustrate the method.
Which formula does this calculator use?
Markup (%) = (price − cost) ÷ cost × 100.
What should I check before using the result?
Markup uses cost as the base; margin uses revenue.
How are results rounded?
Scalar numbers display up to six decimal places, with scientific notation for very large or small values. Text, fraction, date and schedule outputs use the format described on the tool. Intermediate calculations use JavaScript floating-point arithmetic. Keep sensible precision for your measurements.
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