Calculating your selling price is straightforward once you know the Markup formula and what each input means. This guide explains the method in plain language, walks through a manual calculation, and gives worked examples you can follow — then you can do it instantly with the Markup Calculator.
What is Markup?
The Markup calculation tells you your selling price from a few simple inputs. The figure you are solving for here is the selling price, expressed in INR.
The Markup formula
The core formula is:
Selling price = Cost price + Cost price × Markup ÷ 100
Here is what each input means:
- Cost price — a money amount. Example: ₹800.
- Markup — a percentage, such as an annual rate. Example: 25%.
How to calculate it step by step
- Write down the cost price (for example, ₹800).
- Write down the markup (for example, 25%).
- Apply the formula above to get your selling price.
- Double-check the result with the Markup Calculator.
Worked examples
Example 1
| Input / Output | Value |
|---|---|
| Cost price | ₹800 |
| Markup | 25% |
| Selling price | ₹1,000.00 |
| Profit | ₹200.00 |
| Equivalent margin | 20.00% |
With cost price of ₹800 and markup of 25%, the selling price works out to ₹1,000.00.
Example 2
With cost price of ₹1,600 and markup of 25%, the selling price works out to ₹2,000.00.
| Result | Value |
|---|---|
| Selling price | ₹2,000.00 |
| Profit | ₹400.00 |
| Equivalent margin | 20.00% |
Example 3
With cost price of ₹400 and markup of 25%, the selling price works out to ₹500.00.
| Result | Value |
|---|---|
| Selling price | ₹500.00 |
| Profit | ₹100.00 |
| Equivalent margin | 20.00% |
Tips for an accurate result
- Keep your units consistent — mixing, say, months with years or grams with kilograms is the most common source of error.
- Round only at the very end. Rounding inputs early can shift the final answer noticeably.
- Re-run the numbers whenever an input changes, rather than estimating from an old result.
Prefer not to do the maths by hand? — the Markup Calculator does it instantly, for free, with the formula and a worked example built in.
Related calculators
Continue exploring business calculators with these tools: Discount Calculator, Price Elasticity of Demand Calculator, Profit Margin Calculator, Gross Profit Calculator, ROI Calculator.