How we calculate

Break-even units = fixed costs / (price − variable cost per unit). No break-even point exists with non-positive contribution. The required whole-unit count rounds up: 10,000 / (100 − 40) = 166.67, so at least 167 units are needed.

Worked example

These illustrative inputs let you check the method. They are not figures for a real company or automatically current tax rates.

Inputs

Fixed costs

10,000

Variable cost per unit

40

Selling price

100

Results

Units to sell

167

Contribution per unit

60

Revenue at required whole units

16,700

Change assumptions in the calculator and compare outcomes. Money follows your input unit; figures from different periods need adjustment before comparison.