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Price from target margin calculator

Enter the cost per unit and the desired margin as a percentage. The calculator works out the selling price and the equivalent markup.

Result

Selling price

Equivalent markup

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This calculation is for informational purposes only and does not replace advice from a qualified professional. Formulas and rates may not fit your exact situation — double-check the figures before making decisions.

How it is calculated

Selling price = cost ÷ (1 − desired margin ÷ 100). This is the reverse of a standard margin calculation: normally price and cost give you the margin; here, cost and a target margin give you the price.

A margin of 100% or more is mathematically impossible — as margin approaches 100%, price approaches infinity, because margin is calculated against price, not cost. If the target percentage is meant to be measured against cost instead, that's markup, not margin — the equivalent markup is shown as a separate result.

The same percentage produces a different price under markup versus margin: a 50% markup on a $1,000 cost gives a $1,500 price, while a 50% margin on the same cost gives a $2,000 price — because a 50% margin means cost is only half of price. Before using a percentage, it's worth confirming whether it's really a margin (against price) or a markup (against cost) — mixing the two up is one of the most common pricing mistakes.

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