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Breakeven Analysis

The breakeven analysis calculator is designed to demonstrate how many units of your product must be sold to make a profit. Hit "View Report" to see a detailed look at the profit generated at each sales volume level.



Your breakeven point is where your profit equals zero. As long as your gross margin is greater than zero, every unit sold after you have reached your breakeven point will add to your profitability. If your gross margin is less than zero, regardless of the units sold, there is no breakeven point.

Breakeven Analysis Summary
Variable CostVARIABLE_UNIT_COST per unit
Expected SalesEXPECTED_UNIT_SALES units
PricePRICE per unit

Profit by Units Sold


Breakeven Analysis Definitions

Variable unit cost
Cost associated with producing an additional unit.
Fixed cost
The sum of all costs required to produce any product. This amount does not change as production increases or decreases.
Expected unit sales
The number of units that are expected to be sold.
Price per unit
Price you will be able to receive per unit.
Total variable costs
The product of units produced and variable unit cost (example 10 units at $5 variable cost produces a total variable cost of $50).
Total costs
Sum of fixed costs and variable costs.
Total revenue
Product of price and expected sale unit sales (example 10 units at $10 equals $100 total revenue).
Total revenue minus total costs.
Number of units required to sell to make a profit of zero.

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