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Mauli Pawar & Associates

Tax Professional

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Business Finance Tool

Break-Even Calculator

Calculate your break-even quantity, break-even sales, contribution margin, margin of safety and estimated business profit or loss.

Business Analysis

Break-Even Point Analysis

Enter your business figures to calculate the point where total revenue equals total cost.

Cost & Pricing

Enter your basic business figures

₹

Rent, salaries, insurance and other fixed expenses.

₹

Cost that changes with each unit produced or sold.

₹

Selling price received for one unit.

Sales Projection

Optional sales quantity for profit analysis

Number of units you expect to sell.

Break-Even Formula

Break-Even Units = Fixed Cost ÷ (Selling Price − Variable Cost)

Contribution per unit = Selling Price − Variable Cost

Calculation Results

Your business break-even analysis

Profit Zone
BREAK-EVEN UNITS
500

Units required to cover total costs

BREAK-EVEN SALES
₹2,50,000

Revenue required to break even

CONTRIBUTION / UNIT
₹200

Amount available to cover fixed costs

CONTRIBUTION MARGIN
40.00%

Contribution as % of selling price

Expected Revenue

₹3,50,000

Expected Total Cost

₹3,10,000

Estimated Profit / Loss

₹40,000

Margin of Safety

How far expected sales are above or below the break-even point.

200 Units

28.57%

Break-Even Chart

Revenue and total cost intersect at the break-even point.

Calculation Breakdown

Fixed Cost ₹1,00,000
Variable Cost / Unit ₹300
Selling Price / Unit ₹500
Contribution / Unit ₹200
Break-Even Units 500

What Does It Mean?

Break-even point is the sales level at which your total revenue equals your total costs.

Sales above the break-even point generally generate operating profit, assuming the input assumptions remain unchanged.

Sales below the break-even point generally result in an operating loss under the same assumptions.

Use this calculator for planning, pricing and basic business decision analysis.

Disclaimer: This calculator provides an illustrative break-even analysis based on the figures entered by the user. Actual business results can differ because of taxes, discounts, changes in selling prices, variable costs, product mix, capacity, financing costs and other business factors.