Markup and Selling Price Calculator

Calculate selling price from cost and markup percentage. Convert between markup and profit margin.

💰 Business📐 Selling Price = Cost × (1 + Markup %)

Cost price ($)

Desired markup %

OR selling price ($, to find markup)

Please enter valid values.

Formula & Reference

Variable	Formula	Units
Markup and Selling Price Calculator	Selling Price = Cost × (1 + Markup %)	$ price

Step-by-Step Examples

Example 1

Retail Product

Cost $40, 50% markup.

Selling price: $40 × 1.50 = $60
Margin: 50/150 = 33.3%

✓ $60 selling price / 33.3% margin

Example 2

Find Markup from Price

Cost $25, sell at $45.

Markup = (45-25)/25 × 100 = 80%
Margin = (45-25)/45 × 100 = 44.4%

✓ 80% markup / 44.4% margin

Example 3

Manufacturing

Cost $8.50, 120% markup.

Selling price: $8.50 × 2.20 = $18.70

✓ $18.70 selling price

Real-World Applications

Price products correctly for target profit.

Set wholesale prices at target markups.

Calculate distributor margin and end retail price.

Understand supplier margin from cost and price.

Common Mistakes to Avoid

⚠️

Confusing markup and margin

Markup is profit/cost. Margin is profit/revenue. A 100% markup = 50% margin. Many businesses accidentally use these interchangeably and underprice.

⚠️

Not accounting for all costs

Markup on product cost must also cover shipping, returns, transaction fees, storage, and overhead before generating net profit.

Frequently Asked Questions

Markup vs margin — which to use? ▾

Use markup when you know cost and need to set price. Use margin when analyzing profitability against revenue. Retailers typically talk margin; manufacturers talk markup.

Standard markups by industry? ▾

Retail clothing: 50-100%. Electronics: 5-15%. Grocery: 15-25%. Restaurants on food: 300-400%. Software: 60-90% gross margin. Jewelry: 50-200%.

How do keystone and double-keystone work? ▾

Keystone markup = 100% (doubling the cost). Double-keystone = 200% markup (tripling). Commonly used in boutique retail and jewelry.

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