Markup Calculator
Calculate markup percentage, markup amount, selling price, profit margin and total profit based on product cost and selling price.
Enter Product Details
Enter the cost price, selling price and quantity to calculate markup and related profitability figures.
Target Markup Calculator
Enter a desired markup percentage to calculate the selling price and profit amount required for the cost price entered above.
Markup Breakdown
See the relationship between cost, selling price and markup for one unit and for the total quantity.
| Item | Per Unit | Total | % of Revenue |
|---|
What is Markup?
Markup is the amount added to the cost of a product to determine its selling price. Markup percentage measures this increase relative to the original cost price.
Markup Formula
Selling Price − Cost Price
Markup Percentage
Markup Amount ÷ Cost Price × 100
Markup Example
Selling Price: ₹1,000
Markup Amount: ₹1,000 − ₹600 = ₹400
Markup Percentage: ₹400 ÷ ₹600 × 100 = 66.67%
Therefore, the markup is approximately 66.67%.
Markup vs Profit Margin
Markup and profit margin are related but they use different bases. Markup measures profit relative to cost, while profit margin measures profit relative to selling price or revenue.
Profit ÷ Cost × 100
Profit Margin %
Profit ÷ Selling Price × 100
Markup = 66.67%
Profit Margin = 40%
Target Markup Formula
Markup Amount
= ₹600 × 50%
= ₹300
Selling Price
= ₹600 + ₹300
= ₹900
The equivalent profit margin is approximately 33.33%.
Can Markup Be More Than 100%?
Yes. A markup above 100% simply means that the amount added to the product cost is greater than the original cost. For example, a ₹500 product sold for ₹1,250 has a markup of 150%. The appropriate markup depends on the product, operating costs, competition and pricing strategy.
Disclaimer: This Markup Calculator is intended for educational and business-planning purposes only. The calculations do not automatically include GST, taxes, shipping, discounts, marketplace commissions, salaries, rent, refunds or other business expenses. Include all relevant costs when making actual pricing decisions.