Profit Margin Calculator

Calculate your profit, profit margin, and markup from cost and revenue. Essential for pricing products, evaluating deals, and understanding your business profitability.

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Profit Margin Calculator

business calculator

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How It Works

Formula

Profit = Revenue − Cost
Margin = Profit / Revenue × 100
Markup = Profit / Cost × 100
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Examples

Cost $60, sell for $100

$40 profit, 40% margin, 67% markup.

Frequently Asked Questions

What is the difference between margin and markup?

Margin is profit as a percentage of the selling price; markup is profit as a percentage of the cost. A $60 item sold for $100 has a 40% margin but a 67% markup.

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What is a good profit margin?

It varies by industry. Retail often runs 5-10%, software can exceed 70%, and restaurants typically see 3-9%. A 10%+ net margin is generally considered healthy.

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