Profit Margin
Margin, markup and profit from cost and price.
Profit / unit
$40
Profit margin
40%
Markup
66.7%
Formulas
Profit = price โ cost = 100 โ 60 = 40 Margin = profit รท price = 40% Markup = profit รท cost = 66.67%
Margin is profit as a share of the selling price; markup is profit as a share of cost. A 50% margin = 100% markup.