How this is calculated

Markup percent is profit divided by cost. A selling price from markup is cost multiplied by one plus the rate.

markup % = ((price − cost) / cost) × 100

  1. From cost 100 and price 150, markup is 50 / 100 × 100 = 50%.
  2. From cost 80 and 25% markup, price is 80 × 1.25 = 100.
  3. Cost 150 and price 200 is a 33.333% markup, and a 25% margin.

This is the what-percent formula with cost as the whole. Margin uses selling price as the whole instead.

Not the same as

Markup and margin use the same profit amount and different denominators.

Markup questions

50%. The extra 50 is half of the cost.

100. 80 × 1.25 = 100.

No. On cost 100 and price 150, markup is 50% and margin is 33.333%.

Open the margin calculator

The formula matches an increase from cost to price. This page keeps cost and price labels and can also build a price from a markup percent.

Open percentage change

No. Markup divides by cost.

33.333…%. 50 / 150 × 100.