Finance

Profit Margin & Markup Calculator

Calculate gross profit per unit, margin percentage, markup percentage, and total gross profit from cost and selling price.

Margin and markup describe the same pricing relationship from different starting points. Margin divides profit by selling price, while markup divides profit by cost.

This calculator measures gross profit before overhead, payroll, taxes, returns, payment fees, shipping subsidies, and other operating expenses.

Frequently asked questions

What is the difference between margin and markup?

Margin is profit divided by selling price. Markup is profit divided by cost.

Can profit be negative?

Yes. If selling price is below unit cost, the calculation shows a gross loss.

Does this include fixed expenses?

No. It is a gross-profit calculation. Use a break-even analysis to include fixed costs.