Cost of an item given Selling Price of $104 and a 30% Markup on Cost

Given: Selling Price = $104,  Markup = 30%
Markup as a Decimal: 30% = 0.3
Formula:
Cost =  

Selling Price/ 1 + Markup as a Decimal

Cost =  

$104/ 1 + 0.3

Cost =  

$104/ 1.3

Cost = $80
Notes:
Markup Amount = Selling Price – Cost = $104 – $80 = $24
Profit = Markup Amount = $24
Profit Margin =  

Profit/ Selling Price

=  

$24/ $104

= 0.2308 = 23.08%