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    Pryde2k's Avatar
    Pryde2k Posts: 1, Reputation: 1
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    #1

    Dec 14, 2011, 11:31 AM
    How to calculate bep in units sold?
    What the formula to calculate the break even point in units sold for a company?
    ebaines's Avatar
    ebaines Posts: 12,131, Reputation: 1307
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    #2

    Dec 14, 2011, 12:15 PM
    Break even volume = Total fixed costs/(Unit sale price- Variable unit cost). Note that since:

    Unit Sale Price - Variable Unit Cost = Contribution Margin per unit sold

    essentially you break even when your total contribution margin from all units sold equals your fixed costs.
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