Selling price from markup: Setting a Selling Price from a Cost Markup
A markup adds a chosen percentage of cost to produce a selling price. It is convenient for quoting but does not produce the same percentage gross margin.
Use the Selling price from markup Calculator to enter your own figures and compare the result with the worked example below.
Selling price from markup formula
Selling price = Cost × (1 + Markup rate)
Worked example
| Item | Example value |
|---|---|
| Cost | 100 USD |
| Markup rate | 25 % |
| Selling price from markup | 125 USD |
These are illustrative inputs, not current prices, rates or recommended targets. Where a currency is shown, keep all comparable money amounts in the same currency; conversion examples identify the two sides separately.
How to interpret the result
Recheck the underlying unit cost when supplier prices change. Fees and overhead may need separate allowance.
Related calculations
Method and further reading
The example follows the FinMathly calculator method. For broader background, see SEC: Understanding financial statements. The background resource may use jurisdiction-specific terms; it does not replace the assumptions of this calculator.
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