Markup, Margin and Cash Price (Pharmacy Pricing Math)

Markup, gross margin and price for a pharmacy sale.

Open the tool → Runs in your browser. Data leaves only if you deliberately send a problem report from the interactive tool.

Example

Acquisition cost
60 dollars
Selling price
100 dollars

Result: Markup 66.67%, gross margin 40%.

The tool opens with these values already filled in. Replace them with your own.

What you enter

  • Acquisition cost
  • Selling price
  • Markup on cost
  • Gross margin on price
  • A target margin, to price for
  • Dispensing fee added to that price
How this is calculated

Citation

Stated arithmetic: markup is (price - cost) / cost and gross margin is (price - cost) / price, so margin = markup / (1 + markup) and markup = margin / (1 - margin). No primary source is needed for an identity.

A reference and educational tool. Not medical, legal, or financial advice, and not a substitute for clinician judgment.

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Built by Clay Good. Source on GitHub.