Compare markup on cost with margin on revenue without confusing the two percentages.
Gross profit-
Markup on cost-
Margin on revenue-
Price for target margin-
Method
Financial calculation method
Results use the entered rate, term, payment timing, and price assumptions. Periodic rates are derived from the nominal annual rate shown in the form.
These calculations are planning estimates. Lender schedules, fees, taxes, rounding policies, and payment dates can change an actual quote or statement.
Questions
Markup and Margin Calculator FAQ
What is the difference between markup and margin?
Markup divides profit by cost, while margin divides profit by selling price. The same transaction therefore has different markup and margin percentages.
How do I set a price for a target margin?
Divide cost by one minus the target margin expressed as a decimal.
