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EvenPoint
Fixed costs, variable cost per unit, selling price — get the exact units (and revenue) needed before the business turns a profit.
Each unit's selling price minus its variable cost is the contribution margin. Divide your fixed costs by that to get the break-even unit count.
Costs vs. revenue
Where the revenue line crosses the total-cost line is your break-even point.
Break-even point
1,176 units
$29,412 in revenue
What you entered
Contribution margin per unit
$25 − $8= $17Break-even units
$20,000 ÷ $17= 1176.5 unitsBreak-even revenue
1176.5 × $25= $29,411.76Result
Break-even units: 1,176 units
You need to sell 1,176 units ($29,412 in revenue) before fixed costs are covered — every unit sold after that is profit.