Margin Calculator
Calculate profit margin, markup, and gross profit.
Margin vs. Markup
In business, both margin and markup use gross profit to describe profitability, but they are calculated differently.
Gross Margin
Margin is the ratio of gross profit to the selling price. It tells you how much of every dollar of revenue you keep.
Formula: (Profit / Revenue) × 100
Markup
Markup is the ratio of gross profit to the cost of the item. It tells you how much more you're selling the item for than it cost you.
Formula: (Profit / Cost) × 100