Selling Price after a 38.65% Profit Margin is applied to an item that Cost $32

Given: Cost = $32,  Profit Margin = 38.65%
Profit Margin as a Decimal: 38.65% = 0.3865
Formula:
Selling Price =  

Cost/ 1 – Profit Margin as a Decimal

Selling Price =  

$32/ 1 – 0.3865

Selling Price =  

$32/ 0.6135

Selling Price = $52.16
Notes:
Profit = Selling Price – Cost = $52.16 – $32 = $20.16
Markup Amount = Profit = $20.16
Markup Percentage =  

Markup Amount/ Cost

=  

$20.16/ $32

= 0.63 = 63%