Finance
Break-Even Revenue
Revenue needed to break even.
Formula
Formula
Rev = FCcontribution margin ratio
Variables
| Symbol | Definition | Type & range | Units | Role |
|---|---|---|---|---|
| FC | fixed costs | computed result | — | result |
| price | price/unit | computed result | — | result |
| var | variable cost/unit | computed result | — | result |
Try it yourself
Interactive calculator
Worked examples
Example 1
Givenfixed costs = 10000, price/unit = 50, variable/unit = 30
Result25000
Example 2
Givenfixed costs = 5000, price/unit = 20, variable/unit = 12
Result12500