Enter the fixed costs (\$), the sales per unit (\$), and the variable cost per unit (\$) into the Break Even Sales Calculator. The calculator will evaluate and display the Break Even Sales.

## Break Even Sales Formula

The following formula is used to calculate the Break Even Sales.

BES = FC / (SPU – VC)

• Where BES is the Break Even Sales
• FC is the fixed costs (\$)
• SPU is the sales per unit (\$)
• VC is the variable cost per unit (\$)

## How to Calculate Break Even Sales?

The following example problems outline how to calculate Break Even Sales.

Example Problem #1

1. First, determine the fixed costs (\$).
1. The fixed costs (\$) is given as 500.
2. Next, determine the sales per unit (\$).
1. The sales per unit (\$) is calculated as: 30.
3. Next, determine the variable cost per unit (\$).
1. The variable cost per unit (\$) is found to be: 20.
4. Finally, calculate the Break Even Sales using the formula above:

BES = FC / (SPU – VC)

Inserting the values from above yields:

BES = 500 / (30 – 10) = 25

Example Problem #2

The variables needed for this problem are provided below:

fixed costs (\$) = 140

sales per unit (\$) = 5

variable cost per unit (\$) = 5

This example problem is a test of your knowledge on the subject. Use the calculator above to check your answer.

BES = FC / (SPU – VC) = (\$)