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Inputs
Cost of goods sold (COGS).
The final price charged to the customer.
Results Summary
Gross Profit
$0.00
Profit Margin
0.00%
Markup
0.00%
What is the Margin & Markup Calculator?
The Margin & Markup Calculator is a bidirectional financial tool designed for entrepreneurs, retailers, and pricing analysts. It instantly determines profitability metrics without manual spreadsheet formulas.
What does it do?
- • Calculates Gross Profit instantly.
- • Determines Margin and Markup percentages.
- • Reverse-calculates required Selling Price based on target Margin.
- • Provides real-time bidirectional reactivity.
Who is it for?
- • Retailers pricing inventory.
- • Sales teams analyzing deal profitability.
- • E-commerce store owners.
- • Financial analysts and accountants.
How to calculate Margin & Markup
How it Works
- 1
Enter your Cost
Input the Cost of Goods Sold (COGS) into the Cost field. - 2
Provide a second variable
Enter your expected Selling Price (Revenue) OR your desired Profit Margin percentage. - 3
View Instant Results
The calculator instantly populates Gross Profit, Margin, and Markup dynamically. You can adjust any field to see real-time updates.
Margin vs. Markup Explained
| Metric | Definition | Formula |
|---|---|---|
| Profit Margin | The percentage of revenue that represents profit. | (Gross Profit / Revenue) × 100 |
| Markup | The percentage added to the cost to arrive at the selling price. | (Gross Profit / Cost) × 100 |
| Gross Profit | The absolute monetary value of profit earned. | Revenue - Cost |
Frequently Asked Questions
Frequently Asked Questions
Yes, the Margin & Markup Calculator is completely free with no limits on usage. You do not need to create an account or provide an email address.
Profit Margin is calculated using the formula: ((Revenue - Cost) / Revenue) × 100. It tells you how much out of every dollar of sales a company actually keeps in earnings.
Markup is calculated using the formula: ((Revenue - Cost) / Cost) × 100. It shows how much more your selling price is than the amount the item costs you.
Yes! The calculator is bidirectional. Simply enter your Cost and your target Margin (%), and the tool will instantly calculate the exact Selling Price (Revenue) required to achieve that margin.