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FINANCIAL

Break-even Sales Calculator

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Find the whole-unit sales volume needed to cover fixed and variable costs.

Your inputs

USD
USD
USD

Example values are shown. Edit them for your calculation.

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Your result

FINANCIAL

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On this page How it works & practical examples

How to use the Break-even Sales Calculator

Use one product and one accounting period. Include costs that rise with each sale in the variable-cost input, and costs incurred regardless of volume in fixed costs. The answer rounds upward because a fraction of a unit cannot be sold in this model.

The calculation

Break-even units = ceil[fixed costs / (unit price − unit variable cost)]

Worked example

$10,000 fixed costs, a $50 price and $30 variable cost require 500 units. At 501 units, modeled profit is $20.

Assumptions and limits

Price must exceed variable cost. The calculation assumes constant prices and costs and does not model capacity, taxes, step costs or a mixed product portfolio.

Common questions

Why not use total cost per unit?

Allocating fixed costs into unit cost and also entering them as fixed costs would double-count them.

What if fixed costs are zero?

Zero units covers zero fixed costs; each positive-margin sale then contributes modeled profit.

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