Discount Calculator
Calculate the price after a discount and tax, and see how much you save.
Finance
Finance
Break-Even Calculator
Find the number of units needed to cover fixed and variable costs before profit.
Enter your values
Your result
Whole units needed to break even
250units
- Contribution per unit
- 40
- Theoretical break-even units
- 250
- Revenue at the required units
- 25,000
- Profit at the required units
- 0
An estimate based on your inputs. Review the assumptions and method below.
How does this calculator work?
The difference between a unit’s price and variable cost contributes toward fixed costs for the period. Once those costs are covered, further sales generate profit under your assumptions. Use one consistent period, such as a month or year.
The formula
Unit contribution = selling price − variable cost. Break-even units = fixed costs ÷ unit contribution; required whole units are rounded up.
What should you know?
- Assumes one product with a constant price and variable cost, without capacity constraints or quantity discounts.
- A zero or negative contribution cannot cover positive fixed costs through sales. Adjust the price or costs.
- Required revenue uses whole units and may slightly exceed theoretical break-even revenue.
Common questions
How do fixed and variable costs differ?
Fixed costs do not change directly with each unit during the period, such as rent. Variable costs depend on units, such as materials, sales commissions and per-unit shipping.
Why show theoretical and required units?
The calculation may give 12.4 units, but selling whole units requires 13 to cover all costs. Both figures are shown.
Sources and verification
How do we choose formulas and check results?
Sources explain the method or its limits; they do not imply that the linked organizations endorse this calculator.