Calculate markup percentage and price
Markup is based on cost: (Selling Price - Cost) ÷ Cost × 100. Margin is based on selling price: (Selling Price - Cost) ÷ Selling Price × 100. A 100% markup equals a 50% margin.
Selling Price = Cost × (1 + Markup%). If cost is ₹100 and markup is 50%, selling price = ₹100 × 1.50 = ₹150.
Markups vary by industry: Groceries 15-25%, Clothing 50-100%, Electronics 30-50%, Restaurants 200-300% on food. Consider competition, perceived value, and operating costs.
Markup = Margin ÷ (1 - Margin). A 25% margin = 0.25 ÷ 0.75 = 33.3% markup. A 50% margin = 0.50 ÷ 0.50 = 100% markup.
Proper markup ensures profitability after covering all costs. Too low means losses; too high means lost sales. Calculate break-even markup by including all fixed and variable costs.
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