Enter values and select Calculate.
Calculated result
How to use this calculator
- Choose known cost and price or target-markup mode.
- Enter ordinary non-negative decimal money values.
- Enter a markup percentage as 25 for 25%, not 0.25.
- Review the cost-based markup and equivalent revenue-based margin when defined.
Formula and method
Profit = selling price − cost. Markup = profit ÷ cost × 100. Target price = cost × (1 + target markup rate).
Worked example
A $60 cost and $100 selling price produce $40 profit and 66.6667% markup. The equivalent margin is 40%, demonstrating why the percentages are not interchangeable.
Assumptions and boundaries
- Cost is the denominator for markup.
- Markup is undefined when cost is zero.
- A sale below cost is valid and produces negative profit and markup.
- The calculator supplies arithmetic, not a recommendation about what to charge.
Understanding the result
The calculator preserves full finite arithmetic through the calculation and formats ordinary money to two decimal places for display. Percentages can retain additional useful decimal precision. It never evaluates expressions or silently adds tax, fees, exchange rates, or recommendations.
Common mistakes
- Calling a 40% margin a 40% markup
- Dividing profit by selling price for markup
- Using zero cost as a denominator
- Treating a calculated price as business advice
Methodology note
This deterministic browser-local utility uses only the formulas stated above and the values you supply. It provides arithmetic, not financial, investment, pricing, accounting, tax, or tipping advice.
Check source values and required precision before using a result in a purchase, invoice, business record, or other decision.