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Convert cost into a selling price using a markup percentage, and see the implied profit margin.
Selling price = Cost × (1 + Markup). Margin = Markup ÷ (1 + Markup).
Cost 800 with a 40% markup. Price = 800 × 1.40 = 1,120. Margin = 0.40 ÷ 1.40 = 28.6%.
Markup starts from what you paid. It is useful when a buyer or category manager thinks in 'cost plus'. It is the wrong input if your finance report talks in margin. Always convert before you compare a target from another team.
A single markup across a catalog is rarely right. Heavy, bulky or high-return items need more room for shipping and reverse logistics. Competitive SKUs may need a tighter markup and volume. Use contribution after fees, not markup alone, to decide.
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Use any currency as long as every input uses the same one. The math does not depend on a currency code.
Selling price = Cost × (1 + Markup).
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