33% Markup on $5
Selling price, gross profit, gross margin — with full formula and industry context.
Selling Price
$6.65
Gross Profit
$1.65
Gross Margin
24.81%
$5 × 1.33 = $6.65
The Formulas
Selling price:
Cost × (1 + Markup/100)
Gross profit:
Price − Cost
Gross margin:
(Profit ÷ Price) × 100
Markup check:
(Price − Cost) ÷ Cost × 100
Step-by-Step
1
Convert to multiplier
1 + 33/100 = 1.33
2
Multiply by cost
$5 × 1.33 = $6.65
3
Gross profit
$6.65 − $5 = $1.65
4
Gross margin
$1.65 ÷ $6.65 × 100 = 24.81%
Industry Assessment: Low
Workable for high-volume, low-overhead businesses such as grocery, electronics, or commodity supply.
Real-World Context
A $5 input marked up 33% to $6.65 is typical of food service — the $1.65 gross profit per unit only makes sense at high daily volume.
Frequently Asked Questions
What is 33% markup on $5?
A 33% markup on a $5 cost gives a selling price of $6.65, gross profit of $1.65, and a gross margin of 24.81%%. Formula: $5 × 1.33 = $6.65.
What is the difference between 33% markup and 33% margin?
33% markup means profit is 33% of the cost ($5). The equivalent gross margin — profit as % of selling price ($6.65) — is 24.81%%. Markup is always the larger number.
What gross margin does a 33% markup produce?
A 33% markup produces a 24.81% gross margin. Formula: Margin = Markup ÷ (1 + Markup/100) = 33 ÷ 1.33 = 24.81%.
How do I apply a 33% markup in a spreadsheet?
If cost is in A1: =A1*(1+33/100) gives the selling price. For a column: =A1*1.33 dragged down.
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