-400.0% Margin ($-80 Profit)

With $100 cost and $20 revenue, profit is $-80.00 โ€” a -400.0% margin (-80.0% markup).

$-80.00
Profit
-400.0%
Margin
-80.0%
Markup

How This Works

Margin expresses profit as a percentage of the selling price (revenue). Markup expresses the same profit as a percentage of cost. They're often confused but give different numbers for the same sale โ€” margin is always lower than markup for a profitable sale.

Formula

Profit = Revenue − Cost
Margin % = Profit ÷ Revenue × 100  |  Markup % = Profit ÷ Cost × 100

Example

An item costing $100 sold for $150 has $50 profit โ€” a 33.3% margin but a 50% markup.

Frequently Asked Questions

What is the profit margin on $100 cost, $20 revenue?

-400.0% margin, or -80.0% markup โ€” both describing the same $-80.00 profit.

What's the difference between margin and markup?

Margin divides profit by revenue (selling price); markup divides profit by cost. Markup is always a higher percentage than margin for the same profitable sale.