Profit Margin Calculator
How much money will you make?

$
$
%
%
$

Cost

$90


Margin

10%


Profit

$10

Revenue

$100


Markup

11.11%


How do you calculate the profit margin?

  1. Find the cost of the product you want to sell. E.g. Cost = $20
  2. Set the sales price for your product. This is your revenue. E.g. Revenue = $100
  3. Calculate the profit of your product. Profit = Revenue - Cost. E.g. Profit = $100 - $20 = $80
  4. Divide the profit by the revenue price. E.g. $80 / $100 = 0.8
  5. Calculate the percentage value. E.g. 0.8 * 100 = 80%
  6. This is how you calculate the Gross margin. The full formula is Margin = (Revenue - Cost) / Revenue * 100