Markup vs Margin Calculator
Compare profit, markup on cost and gross margin on selling price.
Your result
Your calculated result
- Profit
- ₹ —
- Markup on cost
- —%
- Gross margin on selling price
- —%
Enter your values and select compare markup and margin to see the result. No account is required.
What this tool calculates
Markup and gross margin use the same difference between cost and selling price but divide it by different amounts. Markup divides by cost; gross margin divides by selling price. A ₹20 difference on ₹80 cost and ₹100 price is 25% markup and 20% margin.
How to use markup vs margin calculator
- Enter the cost and selling price of the same item or unit.
- Use a consistent tax basis for both figures so that the difference is meaningful.
- Read profit amount, markup and margin together. Repeat with another selling price to compare the arithmetic.
How the calculation works
Profit = selling price − cost. Markup = profit ÷ cost × 100. Gross margin = profit ÷ selling price × 100.
Worked example
Cost ₹80 and selling price ₹100 gives ₹20 profit, 25% markup and 20% margin.
Understanding the result
The displayed profit is the difference between the two entered figures, not necessarily final business profit. Rent, labour, delivery fees and other costs are excluded unless included in the entered cost. Zero cost leaves markup undefined; zero selling price leaves margin undefined.