Margin Calculator


Cost: $
Revenue: $
 
Mark Up:
77.78%
Gross Profit:
$ 3.50
Gross Margin:
43.75%


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Margin Calculations:

The basic calculation for this calculator finds the profit margin from the cost and selling price by the formula (Gross Profit = Selling Price - Cost).

Margin Formulas:

  • The gross profit P is the difference between the cost to make a product C and the selling price or revenue R.
    • P = R - C
  • The mark up percentage M is the profit P divided by the cost C to make the product.
    • M = P / C = ( R - C ) / C
  • The gross margin percentage G is the profit P divided by the selling price or revenue R.
    • G = P / R = ( R - C ) / R

See also Mathworld on Marginal Analysis

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