Profit Margin Calculator

Margin % on cost and markup on selling price.

About this calculator

Selling at Rs 1,000 with a Rs 700 cost does not mean a 30% profit in every sense — margin and markup answer two different questions, and mixing them up quietly eats profits. This calculator shows both: margin (profit as a share of selling price) and markup (profit as a share of cost), so a shopkeeper or Daraz seller knows exactly where they stand on every item.

Pakistani retailers use it to price consistently across products — setting one target margin and letting the tool work out the selling price from any cost. It also works backwards: enter the price customers will pay and the margin you want, and it tells you the maximum cost you can afford.

How to use

Enter the cost price of your product in PKR.
Enter the selling price (or the margin % you want).
See both margin and markup percentages instantly.
Adjust the selling price until your target margin is reached.

Frequently asked questions

What is the difference between margin and markup?

Margin = profit ÷ selling price; markup = profit ÷ cost. A Rs 700 item sold at Rs 1,000 has a 30% margin but a 42.9% markup.

What margin should a small shop target?

It varies by trade — groceries run thin (5–15%), clothing and cosmetics higher (30–60%). Cover rent, staff and wastage first, then set a margin that leaves real profit.

How do I find the selling price for a target margin?

Selling price = cost ÷ (1 − margin). For a 30% margin on a Rs 700 item: 700 ÷ 0.70 = Rs 1,000. The calculator does this reverse maths for you.