Markup Calculator
Calculate selling price from cost and markup percentage, or find the markup on a known cost and selling price. Includes equivalent margin percentage for comparison.
Calculate Markup
Result
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Selling Price
—
Gross Profit
—
Markup %
—
Equivalent Margin %
Formulas
Selling Price = Cost × (1 + Markup ÷ 100)
Markup% = (Selling − Cost) ÷ Cost × 100
Margin% = Markup% ÷ (100 + Markup%) × 100
Markup% = (Selling − Cost) ÷ Cost × 100
Margin% = Markup% ÷ (100 + Markup%) × 100
Markup to Margin Conversion
| Markup % | Margin % |
|---|---|
| 20% | 16.7% |
| 25% | 20.0% |
| 33% | 24.8% |
| 50% | 33.3% |
| 100% | 50.0% |
| 200% | 66.7% |
Frequently Asked Questions
How do I calculate markup?
Selling Price = Cost × (1 + Markup ÷ 100). 40% markup on $50 cost: 50 × 1.4 = $70. Profit = $20. The markup formula uses cost as the base — unlike margin which uses selling price as the base. This is why the same profit produces different percentages for markup vs margin.
How do I convert markup to margin?
Margin = Markup ÷ (100 + Markup) × 100. 50% markup: 50 ÷ 150 × 100 = 33.3% margin. 100% markup (double the cost): 100 ÷ 200 × 100 = 50% margin. Margin is always lower than the equivalent markup percentage.
What is a typical retail markup?
It varies enormously by product category and business model. Clothing/apparel: 100–300%. Electronics: 5–25% (high competition, thin margins). Jewellery: 50–200%. Furniture: 200–400%. Food service: often 300%+ on beverages, 50–150% on food. High markups don't always mean high profits — overhead costs determine net profitability.