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A selling price calculator determines the optimal price to charge based on your cost and desired profit margin or markup. Margin (percentage of selling price) and markup (percentage of cost) are related but different.
Trin-for-trin guide
- 1From markup: Selling price = Cost × (1 + markup %)
- 2From margin: Selling price = Cost / (1 − margin %)
- 350% markup ≠ 50% margin — they are NOT the same
- 450% markup means price is 1.5× cost; 50% margin means profit is half the price
Løste eksempler
Input
Cost $40, target 40% margin
Resultat
Selling price = $40 / 0.60 = $66.67
Margin works from selling price
Input
Cost $40, 50% markup
Resultat
Selling price = $40 × 1.50 = $60
Markup works from cost
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