For Units:
Break-even point = Fixed cost / ( price per unit - cariable cost per unit)
Break-even point= Fixed cost/ Unit contribution margin
For Sales in pounds;
Break-even point= Fixed costs/ Contribution margin ratio
Units to be sold to achieve target profit :
Break-even point to target profit= (Fixed cost + Target profit)/ unit contribution margin
BEP- critical output level at which neither a loss or a profit will occur.
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