Break-Even Calculator
Business & Corporate
What is the Break-Even Calculator?
The Break-Even Point (BEP) calculator tells business owners exactly how many units they must sell to cover all their costs. Before this point, the business is losing money; after this point, every sale is profit.
How it Works
The calculator divides your fixed costs (like rent and salaries) by your Contribution Margin (which is the selling price minus the variable cost to produce one unit).
The Mathematical Formula
Break-Even Units = Fixed Costs / (Selling Price per Unit - Variable Cost per Unit)