Markup Calculator
Set a selling price from cost plus a markup percentage, and see the margin that results.
Last updated · View algorithm, constants and default inputs (JSON)
About this calculator
Markup is the percentage added to cost to reach the selling price. Because markup is measured against cost and margin against price, a 50% markup is only a 33% margin. Enter cost in the same currency as the selling-price result. Profit margin is undefined when cost and selling price are zero.
Worked example
calculated with the default values below
Cost 100 · Markup 50 % Selling price 150.00 · Profit 50.00 · Profit margin 33.33 %
General background references
Disclaimer
These calculators give estimates for general information only. They are not financial, tax or investment advice and do not take your personal circumstances into account. Before borrowing, investing or filing, confirm the numbers with a qualified adviser in your jurisdiction.
Implementation source
This record describes the implementation used by this page. It is not independent validation. External references, when available, support only the stated formula or definition; estimates and custom rules retain their own assumptions.
Formula and variables
P = C × (1 + u ÷ 100); M = (P − C) ÷ P × 100
- P
- selling price
- C
- cost
- u
- markup, %
- M
- resulting margin, %
Price = cost × (1 + markup/100); margin = profit ÷ price. If cost and price are zero, margin is undefined.
Frequently asked questions
Why does a fifty percent markup give only a thirty-three percent margin?
The tool computes selling price as cost times 1 plus markup over 100, so a 100 dollar cost at 50 percent markup sells for 150 dollars. Margin is then profit over price: 50 over 150 equals 33.3 percent, not 50. The two percentages diverge more as markup grows, a 100 percent markup is only a 50 percent margin. The Profit margin output is always the smaller figure because its denominator is the selling price rather than the cost.