Excel guide · 3 min read

How to calculate markup in Excel

Q: What is the markup formula in Excel?

Markup % = (price - cost) / cost, written as =(C2-B2)/B2. Price from markup = cost x (1 + markup), written as =B2*(1+D2).

Q: How do I add a 30% markup in Excel?

Multiply the cost by 1.3: =B2*1.3, or =B2*(1+30%). A $20 cost becomes $26.

Q: How do I apply a markup to a whole column?

Put the markup in one cell, say D1, and use =B2*(1+$D$1), then fill down. To change prices in place, use Paste Special > Multiply with 1.3 copied from a cell.

Quick answerMarkup is profit divided by cost: =(C2-B2)/B2, with cost in B and price in C, formatted as a percentage. To set a price from a markup, multiply the cost by 1 plus the markup: =B2*(1+D2). A mug that costs $7.20 with a 150% markup sells for $18.00, which is a 60% margin, because margin divides the same profit by price instead.

Sample data

Every result on this page was calculated from this sheet by the same spreadsheet engine the Cellwise app uses.

	A	B	C	D
1	Product	Cost	Price	Target markup
2	Ceramic mug	7.2	18	1.5
3	Soy candle	11.5	32	1.6
4	Linen notebook	6.3	12	1
5	Canvas tote	8.4	24	1.8
6	Art print	13.5	45	2

Markup percentage from cost and price

Subtract cost from price for the profit per unit, then divide by cost. Format the result as Percentage. The mug costs $7.20 and sells for $18.00: $10.80 profit is 150% of the cost.

Markup can be any size. A 100% markup means the price is double the cost ("keystone" pricing in retail); 200% means triple.

=(C2-B2)/B2

Result: 1.5 shows as 150% with Percent format

1.5, which shows as 150%.

Selling price from cost and markup

Price = cost x (1 + markup). Keep the markup in its own column (D) so you can change the plan per product. The candle costs $11.50 with a 160% target markup.

Do not type the markup as 160 in the cell. It needs to be 160% (1.6), or the price comes out 161 times the cost.

=B3*(1+D3)

Result: 29.9

$11.50 x 2.6 = $29.90.

Markup vs margin: convert between them

Markup and margin use the same profit but a different base: markup divides by cost, margin divides by price. For the same item the markup is always the larger number. The mug has a 150% markup and a 60% margin.

To convert a markup into a margin, use markup / (1 + markup). To go the other way, use margin / (1 - margin). A handy check: a 100% markup is a 50% margin, and a 50% margin is a 100% markup.

=D2/(1+D2)

Result: 0.6 shows as 60% with Percent format

1.5 / 2.5 = 0.6: a 150% markup is a 60% margin.

Round to a .99 price point

A calculated price like $29.90 often gets rounded to a retail price. ROUNDUP to the next whole dollar and subtract one cent. Rounding up (rather than to the nearest) keeps the real markup at or above the target.

For prices ending in .95, subtract 0.05 instead. To round to the nearest 50 cents, use =CEILING(price,0.5) in Excel, then subtract a cent if you like.

=ROUNDUP(B3*(1+D3),0)-0.01

Result: 29.99

$29.90 rounds up to $30, so the shelf price is $29.99.

Find the cost from price and markup

Working backwards from a price you know, divide by 1 plus the markup. If a supplier says the art print sells for $45.00 at a 200% markup, the cost is $15.00. This is useful for checking quotes or reverse-engineering a competitor's pricing.

The trap is price x (1 - markup), which is wrong for markups: a 200% markup would give a negative cost.

=C6/(1+D6)

Result: 15

$45.00 / 3 = $15.00 cost at a 200% markup.

Common mistakes

Dividing by price and calling it markup

Profit / price is margin. Markup always divides by cost. Put the base in the column header ("Markup on cost") so nobody mixes them up.

Pricing with cost / (1 - markup)

That formula prices for a target margin, not a markup. For a markup, use cost x (1 + markup). For a 60% margin, cost / (1 - 60%) is right.

Rate stored as 150 instead of 150%

Type 150% or 1.5. If a column already holds whole numbers, divide by 100 in the formula: =B2*(1+D2/100).

Rounding to the nearest dollar

ROUND can pull the price below your target markup. Use ROUNDUP when the markup is a minimum.

FAQ

What is the markup formula in Excel?

Markup % = (price - cost) / cost, written as =(C2-B2)/B2. Price from markup = cost x (1 + markup), written as =B2*(1+D2).

How do I add a 30% markup in Excel?

Multiply the cost by 1.3: =B2*1.3, or =B2*(1+30%). A $20 cost becomes $26.

Is a 50% markup the same as a 50% margin?

No. A 50% markup on a $10 cost gives a $15 price, which is a 33.3% margin. A 50% margin needs a $20 price, which is a 100% markup.

How do I apply a markup to a whole column?

Put the markup in one cell, say D1, and use =B2*(1+$D$1), then fill down. To change prices in place, use Paste Special > Multiply with 1.3 copied from a cell.

Functions used

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Updated November 2, 2026