Calculate gross margin percentage and profit dollars from cost and selling price.
Markup, margin, break-even and profit calculations for pricing and operating decisions.
Enter the requested values above and select Calculate. The result updates immediately on the page, so you can change one value and compare different scenarios without leaving the calculator.
If an item costs $50 and sells for $80, gross profit is $30 and margin is 37.5%.
Calculate gross margin percentage and profit dollars from cost and selling price. It is designed for quick estimates and everyday problem solving. When a calculation affects a contract, tax filing, medical decision or other high-stakes situation, verify the result with the appropriate professional or authoritative source.
Suppose you buy a product for $50 and sell it for $80. The gross profit is $30, the gross margin is $30 ÷ $80 = 37.5%, and the markup on cost is $30 ÷ $50 = 60%. Those are different percentages because their denominators differ.
Boundary case: gross margin is undefined when revenue (selling price) is zero. Even with a positive selling price, gross margin does not subtract rent, wages, payment fees, taxes, or other operating costs. Use it for product-level gross profitability, not full net profit.
Calculate gross margin percentage and profit dollars from cost and selling price.
Margin = (selling price − cost) ÷ selling price × 100.
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