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Sales Volume 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.
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: | 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. |
| Profit: | Total revenue minus total costs. |
| Breakeven: | Number of units required to sell to make a profit of zero. |