What is this calculator?
Find unit sales required to cover fixed costs.
What can you use it for?
Use this tool to compare a financial scenario using the assumptions you control. Find unit sales required to cover fixed costs.
How to use it
- Enter fixed costs.
- Enter selling price per unit.
- Enter variable cost per unit.
- Select Calculate (or Generate for random tools).
- Read the answer and any additional results below the form. Check the units and the limits of the method.
Formula and method
Result = ceil(fixed costs/(selling price per unit-variable cost per unit))
The formula uses the units and definitions shown above. Each input is substituted before the arithmetic is evaluated; the calculated output is rounded for display.
Worked example
Fixed costs: 100000, Selling price per unit: 1000, Variable cost per unit: 600. The result is 250 units (result).
Assumptions and limits
Selling price must exceed variable cost.
Frequently asked questions
What inputs does the Break-Even Calculator need?
Use fixed costs, selling price per unit, variable cost per unit. Read the answer and any additional results below the form. Check the units and the limits of the method.
What assumptions apply to the Break-Even Calculator?
Selling price must exceed variable cost.