Currency changes formatting only; no FX conversion.
Positive cost per unit before optional shipping, packaging and other unit costs.
Whole number from 1 to 1,000,000.
Enabling these costs makes wholesale + shipping + packaging + other the true unit cost used for pricing. In Reverse, entered extra costs are subtracted from the maximum true cost.
Use the nearest matching ending at or below the exact price. All metrics use that selling price. In Reverse, apply the ending to the target price before solving the maximum cost.
Markup is measured against cost. Margin is measured against selling price.
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Markup is measured against cost. Margin is measured against selling price.
Gross-profit estimate excludes taxes, operating overhead, discounts, returns, payment/marketplace fees and other unentered costs. No automatic tax or fee assumptions are applied. Scenario names are neutral labels, not pricing recommendations or universal margin benchmarks.
Tiers use the same $25.00 true unit cost and Exact price ending. Scenario labels do not grade a price or margin. Select a multiplier in the inputs to use a tier.
| Pricing strategy | Multiplier | Retail price | Gross profit | Markup | Gross margin |
|---|---|---|---|---|---|
| Conservative | 1.5× | $37.50 | $12.50 | 50% | 33.3% |
| KeystoneSelected multiplier | 2× | $50.00 | $25.00 | 100% | 50% |
| Premium | 2.5× | $62.50 | $37.50 | 150% | 60% |
| High Margin | 3× | $75.00 | $50.00 | 200% | 66.7% |
Wholesale $25.00 + shipping $0.00 + packaging $0.00 + other $0.00 = true unit cost $25.00.
Exact retail = $25.00 × 2 = $50.00. Selling price after selected ending = $50.00.
Gross profit/unit = $50.00 − $25.00 = $25.00.
Markup = gross profit ÷ cost × 100 = 100%. Gross margin = gross profit ÷ selling price × 100 = 50%.
Selected quantity 1: total cost $25.00; total revenue $50.00; total gross profit $25.00.
For .99 or .95, use the nearest positive price with that ending at or below the exact price. For example, 46.00 and 46.42 become 45.99; 46.96 becomes 46.95 for .95. No positive matching ending below the exact price means Exact must be selected. Profit, markup, margin and quantity totals all use the resulting selling price.
Gross-profit estimate excludes taxes, operating overhead, discounts, returns, payment/marketplace fees and other unentered costs. No automatic tax or fee assumptions are applied. Scenario names are neutral labels, not pricing recommendations or universal margin benchmarks.
Know your price. See your margin. Compare your options.
Start in Calculate with wholesale cost, a preset or custom multiplier and quantity. Enable the collapsed Include costs section to add shipping, packaging and other costs per unit. Select Exact, .99 or .95 price ending. Compare Tiers shows the same cost basis across four multipliers. Reverse solves a maximum cost from retail and either target gross margin or multiplier. Results update live; Copy Pricing Summary includes inputs, pricing, tiers and quantity scenarios. Print Pricing Matrix preserves the result and assumptions. Reset restores Calculate, 25 wholesale, 2× Keystone, quantity 1, Exact and disabled extra costs, and clears custom/reverse inputs, errors and copy state.
Keystone pricing sets retail price at twice the cost basis: retail = cost × 2. A 25 unit cost becomes a 50 selling price, a 25 unit gross profit, 100% markup and 50% gross margin. When additional unit costs are enabled, this calculator doubles the true unit cost. Keystone is one pricing scenario; it is not always an appropriate market price.
Markup (%) = (retail price − cost basis) / cost basis × 100. It measures the amount added relative to cost. At 25 cost and 50 retail, (50 − 25) / 25 × 100 = 100%. Cost must be positive so markup is defined.
Gross margin (%) = (retail price − cost basis) / retail price × 100. It measures unit gross profit relative to selling price. At 25 cost and 50 retail, (50 − 25) / 50 × 100 = 50%. Gross profit per unit equals retail minus cost basis; it excludes operating expenses and unentered costs.
For an acquisition-cost question, estimate advertising break-even from explicit order costs in a separate model. Reconcile product costs, payment fees and other variable costs once; this product gross margin does not already include advertising or every contribution cost.
Markup uses cost as the denominator; gross margin uses selling price. Therefore a 100% markup produces a 50% gross margin at a 2× multiplier. The same unit gross profit appears in both numerators, but the percentages differ. Neither metric by itself describes a business’s bottom-line earnings.
True unit cost = wholesale + shipping per unit + packaging per unit + other per-unit cost when enabled. When disabled, the basis is wholesale alone and inactive optional costs do not affect results. Enabled costs drive retail prices, markup, gross margin, unit gross profit and every comparison tier. In Reverse, extra costs reduce the maximum wholesale cost available inside the maximum true cost. This is a user-entered pricing cost basis, not a formal accounting allocation.
Retail = cost basis × multiplier. Presets are 1.5×, 2× Keystone, 2.5× and 3×, with any supported custom multiplier greater than zero. These correspond before price endings to markup of 50%, 100%, 150% and 200%, and gross margins of about 33.3%, 50%, 60% and 66.7%. A multiplier below 1 models selling below cost and can produce negative gross profit.
The pricing tier matrix calculates four neutral scenarios from the current true cost using the same engine. Conservative is 1.5×, Keystone 2×, Premium 2.5× and High Margin 3×. Names identify scenarios rather than recommended prices or a margin grade. Each row shows multiplier, actual retail price, unit gross profit, markup and gross margin after the selected price ending. Choose the corresponding multiplier in the inputs to update the primary result.
Reverse by target margin: maximum unit cost = retail price × (1 − target margin / 100). Reverse by multiplier: maximum unit cost = retail price / multiplier. Maximum wholesale cost = maximum unit cost − enabled extra per-unit costs. Extra costs above the maximum yield no viable wholesale cost and suppress the result; an exactly zero wholesale allowance is shown as zero. The selected price ending applies to the entered retail target before solving. A target margin of 100% is excluded because it implies zero cost.
For .99 or .95, use the nearest positive price with that ending at or below the exact price. For example, 46.00 and 46.42 become 45.99; 46.96 becomes 46.95 for .95. No positive matching ending below the exact price means Exact must be selected. Profit, markup, margin and quantity totals all use the resulting selling price.
Price endings are selected styles, not optimal or recommended prices. In Reverse, the adjusted selling price controls the maximum cost. A display rounded to two currency decimals does not replace the full internal value.
Total gross profit = unit gross profit × quantity sold. Total cost = true unit cost × quantity; total revenue = actual selling price × quantity. Quick scenarios show 10, 50 and 100 units plus the entered quantity. These are arithmetic scenarios assuming every unit sells at that price; they do not predict demand, discounts, returns or sell-through.
For a separate working-capital question, compare inventory days alongside the sales scenario using accounting amounts from a consistent period. Hypothetical unit sales and gross profit do not determine DIO, DSO, cash availability or replenishment needs.
Wholesale $25.00 + shipping $0.00 + packaging $0.00 + other $0.00 = true cost $25.00. Retail = $25.00 × 2 = $50.00. Unit gross profit $25.00; markup 100%; gross margin 50%.
Wholesale $20.00 + shipping $0.00 + packaging $0.00 + other $0.00 = true cost $20.00. Retail = $20.00 × 2 = $40.00. Unit gross profit $20.00; markup 100%; gross margin 50%.
Wholesale $20.00 + shipping $2.00 + packaging $0.00 + other $1.00 = true cost $23.00. Retail = $23.00 × 2 = $46.00. Unit gross profit $23.00; markup 100%; gross margin 50%.
Retail target $79.99; target gross margin 50%. Maximum true cost = $79.99 × (1 − 50 / 100) = 39.995 unrounded; display $40.00. Maximum wholesale cost after extra costs: $40.00. Full precision is retained.
Wholesale $17.00 + shipping $0.00 + packaging $0.00 + other $0.00 = true cost $17.00. Retail = $17.00 × 2 = $34.00. Unit gross profit $17.00; markup 100%; gross margin 50%.
Wholesale cost, reverse retail price and multipliers must be positive; quantity is a whole number from 1 to 1,000,000; target gross margin is 0–99.99%. Shipping, packaging and other unit costs are zero or positive. Cost and retail inputs are bounded to 1 billion each, multiplier to 1,000 and strings to 32 characters; finite combined magnitudes and ratios are limited to 1 quadrillion. Inactive optional fields are ignored, while invalid active fields remove current results and disable copying. No previous value is reused. Internal arithmetic uses full precision; currency displays two decimals, percentages one normally and multipliers up to two. Tiny nonzero values retain significant digits rather than displaying zero. Currency symbols do not perform FX conversion.
Gross-profit estimate excludes taxes, operating overhead, discounts, returns, payment/marketplace fees and other unentered costs. No automatic tax or fee assumptions are applied. Scenario names are neutral labels, not pricing recommendations or universal margin benchmarks.
Inputs stay in this page; there are no accounts, saved products, storage, URL-state persistence, integrations, network calculations or user-input analytics payloads. Refresh restores defaults. This is a gross-profit pricing estimate rather than an accounting, tax or market-demand model.
Before treating gross profit as money available to the business, compare payment-processing costs. Percentage, per-transaction and monthly charges can reduce what remains after a sale; gross product margin does not include those processing costs.
Keystone means setting retail price at twice the cost basis. Here the basis is wholesale alone or true unit cost when additional costs are enabled.
Yes, before any price-ending adjustment. Doubling cost adds an amount equal to that cost, giving 100% markup.
Markup divides gross profit by cost, while margin divides it by selling price. At 25 cost and 50 retail, the 25 profit is 100% of cost and 50% of selling price.
Subtract cost basis from retail price, divide by that positive cost basis and multiply by 100.
Subtract cost basis from retail price, divide by that positive selling price and multiply by 100. This differs from dividing by cost.
When shipping is a relevant per-unit product cost, enable Include costs and enter it. The calculator then uses the combined true cost for pricing; it does not determine accounting treatment.
Solve maximum unit cost as retail × (1 − target margin / 100), or retail / multiplier. Subtract enabled shipping, packaging and other unit costs to find the wholesale allowance.
They multiply the cost basis by 1.5, 2, 2.5 or 3. The resulting markup and margin are distinct percentages; any selected price ending changes those metrics.
This calculator selects the nearest positive matching ending at or below the exact price, then recalculates profit, markup, gross margin and quantity totals from that selling price.
No universal target applies. Industry, channel, fees, returns, discounting, overhead and product type affect pricing. Scenario names do not recommend a price.
Definitions and arithmetic reviewed 2026-10-04. AccountingCoach explains cost-based markup versus selling-price-based gross margin and unit gross profit terminology. CottonWorks’ retail merchandising reference explains keystone as doubling wholesale cost. BuzCalculator applies these relationships to the entered true-cost scenarios; its price-ending and quantity features are disclosed product arithmetic. Sources do not endorse BuzCalculator.