Calculate unit sales or target revenues required to cover fixed and variable costs.
Calculator Parameters
Enter details and click calculate to view the results instantly.
Calculation Examples
Scenario Inputs
Output Result
fixed : 5000, variable : 15, price : 40
Break-even: 200 Units
About Break-even Calculator
Business Break-even Analysis Calculator. Calculate unit sales or target revenues required to cover fixed and variable costs. Starlightopia provides this tool completely free and online, optimized for instant, accurate computations.
How It's Calculated
How do you calculate the break-even point in units?
Break-even Units = Fixed Costs / (Selling Price per Unit - Variable Cost per Unit).
Technical Specifications
CategoryFinance
Target ValueBreak-even Point
Inputs Required (3)
Fixed Costs ($) (number)
Variable Cost per Unit ($) (number)
Selling Price per Unit ($) (number)
Frequently Asked Questions
What does a break-even point mean for a business?
The break-even point is the sales volume where total revenue exactly equals total costs, resulting in zero profit and zero loss.
How do you calculate the break-even point in units?
Break-even Units = Fixed Costs / (Selling Price per Unit - Variable Cost per Unit).
What is the difference between fixed and variable costs?
Fixed costs remain constant regardless of production volume, while variable costs scale directly with the number of units produced.
What is the contribution margin in a break-even analysis?
The contribution margin is the selling price per unit minus its variable cost, representing the revenue available to help cover fixed expenses.
How can a company lower its break-even threshold?
A company can lower its break-even threshold by reducing fixed overhead costs, lowering variable production expenses, or raising unit selling prices.