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What Is Markup?

The markup is the amount a seller adds to a product as a cost price.

Without a markup, the seller could not cover overheads or make a profit. For any business to profit or simply survive, there must be a markup.

Markup Formula:

Example of How to Deduce Markup:

If a product cost is ₹ 100 and the profit is ₹ 25.

Then, markup = Profit/cost

Markup = 25/100

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