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Fixed-Cost Break-Even Sales

Find continuous break-even volume from fixed cost and a positive unit contribution.

  • Formula & worked example
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Calculator inputs

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How to use this calculator

  1. Enter the known values in the units shown. Results update as you type.
  2. Where results are editable, change one to solve backwards. Lock a value to hold it fixed.
  3. Use the worked example to check the method. Reset restores the starting fields.

Use the result with context

Results are estimates for planning and education. Confirm rates, taxes, fees, and legal requirements with the relevant institution or a qualified professional before making a financial decision.

Formula and method

At price 20, variable cost 10 and fixed cost 1,000, break-even sales are 100 items and revenue is 2,000.

Units = fixed costs / (unit selling price − unit variable cost); revenue = units × price.

Worked example

Enter these known values and leave the other values blank.

Revenue per unit
20 USD
Cost per unit
10 USD
Fixed costs
1000 USD
Margin
50 %
Markup
100 %
You need to sell
100 units
With a revenue of
2000 USD

Assumptions and limitations

  • This assumes constant selling price and variable cost with positive fixed cost, variable cost and contribution.
  • The output is a continuous quantity. Round up separately when sales occur only in whole items.
  • Enter all money amounts in one currency. The retained currency conversion menu uses captured historical conversion factors, not current exchange quotes.
  • Clear an unknown editable field before solving an inverse; fixed selections and output-only fields cannot be inferred.

Common questions

What does this calculation assume?

This assumes constant selling price and variable cost with positive fixed cost, variable cost and contribution.

Are these current exchange rates?

No. Use one currency consistently; currency menu factors are a historical snapshot.

References

The calculation equations, inverse formulas, units, and input rules were imported from this source. Bookify provides the interface and equation solver.

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