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Profit Margin Calculator

Calculate profit margin, markup percentage, and profit from cost and revenue. Switch between margin and markup views for pricing decisions.

Enter Values

Results update as you type.

How It Works

Profit Margin is the percentage of revenue that remains as profit after costs are subtracted:

Profit Margin = ((Revenue - Cost) / Revenue) × 100

Markup is the percentage added to cost to arrive at the selling price:

Markup = ((Revenue - Cost) / Cost) × 100

Margin vs Markup

Key Difference

  • Margin is based on revenue (selling price)
  • Markup is based on cost
  • Margin is always lower than markup for the same product
  • A 50% markup equals a 33.3% margin

Quick Reference

MarginMarkup
10%11.1%
20%25.0%
25%33.3%
33.3%50.0%
50%100.0%

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