Break Even Calculator


  

How does the Break Even Calculator work?

Given a fixed cost, variable cost, and revenue function or value, this calculates the break-even point
This calculator has 1 input.

What 4 formulas are used for the Break Even Calculator?

  1. Cost Function = C(x)
  2. Revenue Function = R(x)
  3. Profit Function = P(x)
  4. Break-even is when P(x) = 0 or R(x) = C(x)

For more math formulas, check out our Formula Dossier

What 6 concepts are covered in the Break Even Calculator?

break even
the point where your total revenue (sales or turnover) equals total costs such that profit is zero
cost
an amount that has to be paid or spent to buy or obtain something
fixed cost
business expenses that are not dependent on the level of goods or services produced by the business
profit
The amount of money left over after paying costs/expenses
Profit = Revenue - Cost
revenue
the money generated from normal business operations, calculated as the average sales price times the number of units sold
variable cost
costs that change as the quantity of the good or service that a business produces changes. V
Cost Per Unit x Total Number of Units

What are some example calculations for the Break Even Calculator?

  1. C(x) = 125x + 1500 and R(x) = 1500x - 1000
  2. canoes has a fixed cost of $20,000. it cost $40 to produce each canoe. the selling price is $80 per canoe