How to compute profit margin from cost and selling price

1. Enter the cost

   "Cost" is the all-in cost basis per unit — supplier price plus inbound freight and any per-unit fees you want included. Use the same currency as Selling price.

2. Selling price

   "Selling price" is what you charge the buyer (pre-tax). If the buyer pays tax separately, exclude it; if you list a tax-inclusive price, subtract tax before entering.

3. Press Run

   Result returns marginPercent = (price − cost) / price × 100, rounded to 2 decimals. Margin is calculated on price, not on cost — that's the difference vs markup.

4. Reading the number

   A 30% margin means $30 of every $100 of revenue is gross profit. Negative margins (cost > price) indicate selling at a loss. For target margin → required price, solve `price = cost / (1 − target/100)` by hand.