How to use
- Enter any two values.
- The others are calculated; the last two edited fields are kept fixed.
Worked example
Cost $60 with a 40% margin needs a price of $100.00 (markup 66.67%).
Supported formats and limits
| Input | Any two of cost, price, margin, markup |
|---|---|
| Output | The other values |
| Engine | Deterministic formulas |
Limitations
- Margins of 100% or more are impossible and are rejected.
- Works per unit before tax; it does not include overhead or sales tax.
Questions
What is the difference between margin and markup?
Both use the same profit (price minus cost). Margin divides it by the price; markup divides it by the cost. A $60 cost with a 40% margin needs a $100 price, which is a 66.67% markup.
Why is a 100% margin rejected?
Price = cost ÷ (1 − margin), so a margin of 100% would need an infinite price. Markup has no upper limit, and markup is undefined when the cost is 0.
Guides
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