Finance

Break-Even Units

Units needed to cover fixed costs.

Formula

Formula
Q = FCprice − variable

Variables

SymbolDefinitionType & rangeUnitsRole
FC fixed costs computed result — result
price price per unit computed result — result
var variable cost/unit computed result — result

Try it yourself

Interactive calculator
Result
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Worked examples

Example 1
Givenfixed costs = 10000, price/unit = 50, variable/unit = 30
Result500
Example 2
Givenfixed costs = 5000, price/unit = 20, variable/unit = 12
Result625