Free · Sales calculators 💸

Cost Markup, Selling Price & Gross Profit

Calculate the price added above a positive cost, the resulting selling price and gross profit, or solve from known price and cost.

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Calculator inputs

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How to use this calculator

  1. Enter the known values in the units shown. Results update as you type.
  2. Where results are editable, change one to solve backwards. Lock a value to hold it fixed.
  3. Use the worked example to check the method. Reset restores the starting fields.

Use the result with context

Results are estimates for planning and education. Confirm rates, taxes, fees, and legal requirements with the relevant institution or a qualified professional before making a financial decision.

Formula and method

A cost of 100 and a 25% markup give a selling price of 125 and gross profit of 25.

Price = cost × (1 + markup); gross profit = price − cost

Worked example

Enter these known values and leave the other values blank.

Product cost
100 USD
Markup on cost
25 %
Selling price
125 USD
Gross profit
25 USD

Assumptions and limitations

  • Markup divides gross profit by cost; gross margin divides gross profit by selling price. A 25% markup corresponds to a 20% gross margin.
  • Cost must be positive. A zero selling price is supported as a −100% markup; negative selling prices are outside this pricing model. Negative markups can represent a sale below cost.
  • Gross profit here is the selling price less the entered product cost. Include applicable costs consistently; other overhead, taxes and financing expenses are not automatically deducted.
  • Currency conversions use the captured October 7, 2026 exchange-rate snapshot rather than live rates. Keep one currency when comparing amounts.
  • Arithmetic uses 64 significant decimal digits, with separate rounding for displayed values.

Common questions

Is 25% markup the same as 25% gross margin?

No. On cost 100, a 25% markup gives price 125 and margin 25/125 = 20%.

References

Bookify requires positive pricing cost, nonnegative selling price and markup at least −100%, retaining all captured price/profit equations and inverses.

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