HOW IT IS CALCULATED
Calculate gross margin from revenue and cost
Measure the share of revenue left after subtracting cost.
Instant resultClear formulaRuns locally
01Values
02(revenue − cost) ÷ revenue × 100
03Result
Revenue 1000, cost 600 → margin 40%
Margin uses revenue as its reference
This is why margin and markup can produce different percentages from the same price and cost.
02
In short
What logic does the calculator use?
(revenue − cost) ÷ revenue × 100
Example?
Revenue 1000, cost 600 → margin 40%