Profit percentage formula
Profit = Selling price − Cost price
Profit % = Profit ÷ Cost price × 100
Bought for ₹800, sold for ₹1,000: profit is ₹200, so profit % = 200 ÷ 800 × 100 = 25%.
Profit % vs profit margin
Profit % (also called markup) is measured on the cost price. Profit margin is measured on the selling price: 200 ÷ 1,000 × 100 = 20%. Both describe the same ₹200 profit.
Selling price for a target profit
Selling price = Cost price × (1 + Profit % ÷ 100)
Frequently asked questions
Is profit percentage calculated on cost or selling price?
In Indian school maths and most trade usage, profit % is calculated on the cost price. Margin is calculated on the selling price.
What if the selling price is lower than the cost?
Then it's a loss. Use the Loss Percentage Calculator, or read the negative profit shown here.