Free tool
Margin calculator
Enter your selling price and your purchase (or production) cost to see your margin and the main related ratios.
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The formulas used
Margin = Selling price excl. VAT − Purchase cost excl. VAT
Markup = Margin ÷ Purchase cost × 100 — the margin relative to what the product costs you.
Margin rate = Margin ÷ Selling price × 100 — the share of the selling price that is margin.
Price multiplier = Selling price ÷ Purchase cost.