Break-Even Calculator
Calculate how much you need to sell and the revenue
required to cover your costs
Gross Margin
31.4%
Items to Break Even
364
Revenue to Break Even
$38 220
Understanding Break-Even
The break-even point shows when your business covers all costs and starts generating profit. It helps understand how many units need to be sold or how much revenue is required to cover both fixed and variable costs.
How the calculations work
Gross Margin: The percentage of revenue remaining after subtracting the cost of goods sold. This shows how much of each dollar in sales contributes to covering fixed costs and generating profit. Calculated as: (Revenue per Item − Cost per Item) ÷ Revenue per Item
Items to Break Even: The number of units you need to sell in a month to cover all fixed and variable costs. This indicates the minimum sales volume required to avoid losses. Calculated as: Monthly Fixed Costs ÷ (Revenue per Item × Gross Margin)
Return on Investment (ROI): Measures how efficiently the invested capital generates profit over the project timeline. Calculated as: Net Project Profit ÷ Initial Investment
Revenue to Break Even: The total revenue needed to reach the break-even point. This shows the sales target in dollar terms. Calculated as: Items to Break Even × Revenue per Item
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