Break-Even Calculator
Break-even units, revenue & profit analysis
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Break-Even Analysis
Break-Even Units
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Break-Even Revenue
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Contribution Margin
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Margin of Safety
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Formula
Break-Even Units = Fixed Costs รท (Selling Price โ Variable Cost)
Contribution Margin = Selling Price โ Variable Cost
Margin of Safety = (Actual Sales โ Break-Even Sales) รท Actual Sales
Contribution Margin = Selling Price โ Variable Cost
Margin of Safety = (Actual Sales โ Break-Even Sales) รท Actual Sales
Frequently Asked Questions
Break-even point is the sales volume where total revenue equals total costs โ neither profit nor loss. Above BEP = profit. Below BEP = loss.
Contribution Margin = Selling Price โ Variable Cost per unit. It shows how much each unit "contributes" toward covering fixed costs and generating profit.
20-25%+ margin of safety is considered healthy. It means actual sales can drop 25% before you hit a loss.