Business
Break-Even Point
Enter price, variable cost, fixed cost, and an optional profit target to see exactly how many units (and how much revenue) you need to break even.
Find the units or revenue needed to cover fixed costs (plus any profit target).
Break-even units
Units = (Fixed costs + Target profit) ÷ (Price − Variable cost)
Contribution margin must be positive or break-even cannot be reached with the current price/cost structure.
How to use
- Enter unit price and variable cost per unit.
- Add fixed costs and, if desired, a profit target.
- Review break-even units, revenue, and the contribution per unit.
Example
Input: Price = $120, Variable cost = $45, Fixed = $35k, Profit target = $10k
Output: Break-even ≈ 600 units, Revenue ≈ $72k
Student-friendly breakdown
This walkthrough emphasizes the most searched ideas for Break-Even Point: Break-Even Point. Start with the formula above, then follow the guided steps to double-check your work. For quick revision, highlight the givens, plug into the equation, and finish by verifying your units.
Need more support? Use the links below to open the long-form guide, browse additional examples, or hop into adjacent calculators within the same topic. Each resource is interlinked so crawlers (and readers) can discover the next best action within a couple of clicks—one of the easiest ways to lift topical authority.
Deep dive & study plan
The Break-Even Point is a go-to tool whenever you need to calculates the units and revenue needed to cover fixed costs.. It focuses on break-even, fixed costs, contribution, which means searchers often arrive with intent-heavy queries like “how to break-even point quickly” or “break-even point formula explained.” Use this calculator to capture those intents and keep learners on the page long enough to send positive engagement signals.
Under the hood, the calculator leans on contribution margin must be positive or break-even cannot be reached with the current price/cost structure.—that’s why we surface the full expression (“Units = (Fixed costs + Target profit) ÷ (Price − Variable cost)”) directly above the interactive widget. When you embed that formula inside H2s or supporting paragraphs, you help both humans and crawlers understand what entity the page represents.
Execution matters as much as the math. Follow the built-in procedure: Step 1: Enter unit price and variable cost per unit. Step 2: Add fixed costs and, if desired, a profit target. Step 3: Review break-even units, revenue, and the contribution per unit.. Each numbered instruction is short enough to scan on mobile but descriptive enough to satisfy Google’s Helpful Content guidelines. Encourage students to jot down units, double-check signs, and compare answers with the Example card to build confidence.
The Example section itself is packed with semantic clues: “Price = $120, Variable cost = $45, Fixed = $35k, Profit target = $10k” leading to “Break-even ≈ 600 units, Revenue ≈ $72k.” Pepper similar narratives throughout your copy (and internal links from related guides) so canonical search intents are answered without pogo-sticking back to Google.
Quick retention checklist
- Speak the formula aloud (or annotate it) so the relationships stick.
- Write each step in your own words and compare with the numbered list above.
- Swap in new numbers for the Example to make sure the calculator (and your logic) handles edge cases.
- Link out to at least two related calculators to keep readers exploring your topical hub.
FAQ & notes
What if price equals variable cost?
Contribution margin becomes zero, so no finite number of units will cover fixed costs. Raise price or reduce cost.
Can I enter multiple products?
Use weighted averages for price and variable cost or run the calculation per product line.
What formula does the Break-Even Point use?
Contribution margin must be positive or break-even cannot be reached with the current price/cost structure.
How do I use the Break-Even Point?
Enter unit price and variable cost per unit. Add fixed costs and, if desired, a profit target. Review break-even units, revenue, and the contribution per unit.