1. What is a Marked Price Calculator?

Definition: This calculator determines the marked price of a product based on its cost price and desired markup percentage.

Purpose: It helps retailers and business owners set appropriate selling prices to achieve their desired profit margins.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• \( MP \) — Marked price (USD)
• \( C \) — Cost price (USD)
• \( M \) — Markup percentage (as decimal)

Explanation: The formula converts the markup percentage to a margin and calculates the selling price needed to achieve that margin.

3. Importance of Marked Price Calculation

Details: Proper pricing ensures profitability while remaining competitive in the market. It accounts for both costs and desired profit margins.

4. Using the Calculator

Tips: Enter the cost price in USD and desired markup percentage (must be between 0-100%). All values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between markup and margin?
A: Markup is percentage of cost price, while margin is percentage of selling price. This calculator converts markup to margin for pricing.

Q2: What's a typical markup percentage?
A: Markup varies by industry, but common ranges are 20-50% for retail, 50-100% for specialty goods, and 10-20% for wholesale.

Q3: Why does the formula use 1 - M?
A: This converts the markup percentage to a margin percentage, ensuring the selling price covers both costs and desired profit.

Q4: How do I account for additional expenses?
A: Either include them in your cost price or increase your markup percentage to cover these expenses.

Q5: What if I want to calculate based on desired profit instead?
A: First calculate markup percentage as (desired profit / cost price) × 100, then use that value in this calculator.