Calculate profit, profit margin and markup from your cost and selling price.
Enter your cost price and selling price to calculate your profitability.
Profit = Selling Price − Cost Price
Profit Margin = Profit ÷ Selling Price × 100
Markup = Profit ÷ Cost Price × 100
Profit = ₹1,000 − ₹800 = ₹200
Profit Margin = ₹200 ÷ ₹1,000 × 100 = 20%
Markup = ₹200 ÷ ₹800 × 100 = 25%
Profit margin shows profit as a percentage of the selling price.
Markup shows profit as a percentage of the cost price.
No. Margin and markup use different bases. For example, ₹800 cost and ₹1,000 selling price produces a 20% margin but a 25% markup.
Profit margin calculates profit as a percentage of the selling price, while markup calculates profit as a percentage of the cost price. Because they use different bases, the two percentages are usually different.
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