What is the formula for loss percentage?

Loss % = ((CP - SP) / CP) × 100, where CP is cost price and SP is selling price.

How do I find selling price from profit percentage?

SP = CP × (1 + Profit%/100). For example, to earn 20% profit on ₹500 CP: SP = 500 × 1.20 = ₹600.

What is markup vs margin?

Markup is profit as % of cost price. Margin is profit as % of selling price. A 25% markup equals a 20% margin.

How to Calculate Profit and Loss

Profit and loss calculations are fundamental to business and everyday transactions. Understanding these formulas helps you evaluate deals and business performance.

Profit Percentage Formula

Profit % = ((SP - CP) / CP) × 100

Where:

SP = Selling Price
CP = Cost Price
Profit % = Profit as a percentage of cost price

Step-by-Step:

1
Find profit/loss
Subtract Cost Price from Selling Price. Positive = profit, negative = loss.
2
Divide by CP
Divide the profit/loss by the cost price.
3
Multiply by 100
Convert to percentage by multiplying by 100.

Worked Examples:

Product Sale

CP: ₹800SP: ₹1,000

Result: 25% Profit

Profit = 1000 - 800 = 200. Profit% = (200/800) × 100 = 25%

Discounted Sale

CP: ₹500SP: ₹400

Result: 20% Loss

Loss = 500 - 400 = 100. Loss% = (100/500) × 100 = 20%