Profit Margin Calculator
Calculate unit profit, gross profit margin, markup, and selling price for a target margin.
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Use the same monetary unit for cost and price. Enter decimals with a period; do not enter currency symbols or grouping separators.
How to use
Enter cost and selling price to compare gross margin and markup. Switch modes to find the selling price for a target gross margin. Results are calculated in your browser.
Formulas
Unit profit = selling price − cost. Gross margin = profit ÷ selling price × 100%. Markup = profit ÷ cost × 100%. Target price = cost ÷ (1 − target margin ÷ 100).
Worked example
A cost of 80 and selling price of 100 give a unit profit of 20, a gross margin of 20%, and a markup of 25%. A 20% target margin on a cost of 80 requires a price of 100.
Scope and rounding
Gross margin uses selling price as its denominator; markup uses cost. Losses are allowed. A ratio with a zero denominator is undefined. Taxes, platform fees, shipping, and overhead are excluded unless you include them in your inputs. No currency conversion is performed. Results are rounded to 2 decimal places for display; this is a pricing estimate, not net profit or accounting advice.
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