Calculate profit margin percentage, markup percentage, and gross profit from cost and revenue. The formulas used are Profit Margin = (Revenue - Cost) / Revenue à 100 and Markup = (Revenue - Cost) / Cost à 100. Essential for pricing products, analyzing business profitability, and financial planning.
â Frequently Asked Questions
Margin is profit as a percentage of selling price (Revenue), while markup is profit as a percentage of cost. A 50% markup on a $60 cost gives $90 revenue, but the margin is only 33.3%.
Enter your cost and selling price (revenue). The calculator uses the formula: Profit Margin = ((Revenue - Cost) / Revenue) Ã 100 to show your margin percentage.