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Free Profit Margin & Markup Calculator
Instantly calculate your gross margin, markup percentage, and total profit. Understand exactly how much money you make on each product sold.
Profit Margin vs. Markup
Profit Margin
The percentage of revenue that is profit. Use this to know how much of every dollar you keep.
((Revenue - Cost) / Revenue) * 100Markup
The percentage added to the cost price to determine the selling price. Use this when setting prices.
((Revenue - Cost) / Cost) * 100Example
If you buy a product for $100 and sell it for $150:
- Profit: $50
- Margin: 33.33% (You keep 33 cents of every dollar).
- Markup: 50% (You marked up the cost by half).