Break-Even Calculator

Introduction

Find how many units you must sell to cover fixed costs given price and variable cost per unit.

Formula

Break-even quantity is fixed costs divided by contribution margin per unit (price minus variable cost).

• F — Total fixed costs
• P — Selling price per unit
• V — Variable cost per unit
• Q — Break-even units

Step-by-step

1. Enter total fixed costs.
2. Enter selling price per unit.
3. Enter variable cost per unit.
4. Read break-even units and revenue.

Worked example

With $50,000 fixed costs and $15 contribution per unit, break-even is about 3,333.33 units.

Use cases

• Plan a product launch target
• Check if a price covers costs
• Estimate sales needed before profit

Frequently asked questions