Break-Even Calculator
Calculate your break-even point in units and revenue. Understand how many units you need to sell to cover your costs.
Cost & Price Details
₹
Rent, salaries, insurance, and other fixed expenses
₹
₹
Raw materials, labor, packaging per unit
Break-Even Units
500
Break-Even Revenue
₹2.50 L
Contribution Margin
₹200
CM Ratio
40.0%
Break-Even Analysis
Fixed Costs₹1.00 L
Selling Price per Unit₹500
Variable Cost per Unit₹300
Contribution Margin per Unit₹200
Break-Even Point500 units
Break-Even Formula: Fixed Costs ÷ (Selling Price - Variable Cost)
Contribution Margin: Selling Price - Variable Cost per Unit
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Frequently Asked Questions
What is break-even point?
Break-even point is when total revenue equals total costs, resulting in zero profit or loss. It's the minimum sales needed to cover all fixed and variable costs.
How is break-even point calculated?
Break-even units = Fixed Costs / (Selling Price - Variable Cost per Unit). This gives you the number of units you need to sell to break even.
Why is break-even analysis important?
It helps businesses understand minimum sales requirements, set pricing strategies, and make informed decisions about scaling operations or launching new products.