Question 1

What is the difference between Margin and Markup?

Accepted Answer

Margin is calculated as a percentage of the selling price (Profit / Selling Price), whereas markup is calculated on the cost price (Profit / Cost Price). Margin is standard in business accounting.

Question 2

Does this calculator include GST?

Accepted Answer

Yes, it computes your desired pre-tax selling price first, and then adds applicable GST so you can quote the final all-inclusive price to your customer.

Set a Selling Price That Protects Margin