About profit calculator
Profit is what remains after you subtract your cost from your selling price. Margin expresses it as a share of the selling price.
Formulas
Profit = selling price − cost. Margin % = profit ÷ selling price × 100. Buying for ₹800 and selling for ₹1,000 gives ₹200 profit and a 20% margin.
Do not forget other costs
Delivery, packaging, returns, platform fees and GST all reduce the real profit. Include them in the cost.
A worked example
A shopkeeper buys an item for ₹600 and sells it for ₹850. The profit is ₹250. The margin is 250 ÷ 850 = 29.4 percent, while the markup on cost is 250 ÷ 600 = 41.7 percent. Both describe the same sale from different bases.
Net or gross
This is gross profit on one sale. After rent, wages, packaging and taxes, the net profit is lower, so check the whole month's accounts as well.
