How to use the Markup Calculator
Enter cost and selling price to calculate gross profit and markup relative to cost. Enter values from the same sale, product, price, or accounting scenario so percentages and totals are compared on a consistent basis.
What this calculator does
Calculate markup percentage and gross profit from cost and selling price. It is intended to make the calculation transparent and repeatable: you provide the known values, the calculator applies the relevant relationship, and the result is shown with the units or labels used by the tool.
When this tool is useful
Use the Markup Calculator when you need a quick, repeatable check and already have the inputs requested by the page. It is useful for comparing scenarios, checking hand calculations, planning a task, or understanding how changing one input affects the result.
How the calculation works
Markup percentage is (selling price − cost) ÷ cost × 100.
Practical example
For example, a product that costs $40 and sells for $60 has a $20 gross profit; the tool shows the markup relative to cost.
Things to keep in mind
- Taxes, fees, discounts, shipping, overhead, and accounting treatment can change real-world profitability or pricing.
- Businesses and jurisdictions may use different definitions, rounding conventions, or reporting rules.
- Use the result as a planning check and confirm final figures against invoices, accounting records, or applicable rules.