Finance
Break-Even Calculator
Fixed costs + variable cost per unit + selling price = the number of units you must sell to cover everything. Below break-even = losing money.
FAQ
What's contribution margin? +
Selling price − variable cost per unit. The amount each unit "contributes" to fixed costs. Higher CM = fewer units needed to break even.
What's fixed vs variable cost? +
Fixed: rent, salaries, insurance — same every month regardless of sales. Variable: materials, hourly labor, shipping — scales with units sold.