What Is a Good Profit Margin?
As a rough rule, a net profit margin around 10% is considered average, 20% or more is good, and under 5% is low — but it varies widely by industry. Margin is the share of revenue left as profit after costs.
Break-even Calculator
Verified formula Updated Jun 2026 Private — runs on your device
Verified formula
Private
Break-even (units)
500 units
- Break-even revenue
- ₹2,50,000
- Contribution per unit
- ₹200
For general information only — not financial, tax, legal or medical advice. Verify before you rely on it.
How to use the Break-even Calculator
The Break-even Calculator works out your break-even (units), along with 2 related figures in an instant. Enter fixed costs, price per unit and variable cost per unit and the result updates as you type — it is free, needs no sign-up, and runs entirely in your browser so your figures stay private.
- Enter the fixed costs.
- Enter the price per unit.
- Enter the variable cost per unit.
- Read off your break-even (units), together with break-even revenue and contribution per unit — the calculator updates automatically, with no button to press.
Worked example
For example, with fixed costs of ₹100,000, price per unit of ₹500 and variable cost per unit of ₹300, the break-even (units) is 500 units.
| Fixed costs | ₹100,000 |
|---|---|
| Price per unit | ₹500 |
| Variable cost per unit | ₹300 |
| Break-even (units) | 500 units |
|---|---|
| Break-even revenue | ₹2,50,000 |
| Contribution per unit | ₹200 |
Results are estimates for educational use, not professional advice.
Key terms explained
- Break even
- The point at which total revenue equals total costs, so there is neither profit nor loss.
Frequently asked questions
The break-even point is the sales level at which total revenue equals total costs, so profit is zero. Beyond it, each additional unit sold adds profit.
Break-even units = fixed costs ÷ (price per unit − variable cost per unit). The denominator is the contribution margin — the part of each sale that covers fixed costs.
It is the selling price minus the variable cost per unit. A higher contribution margin means you reach break-even with fewer units sold.
Reduce fixed costs, raise your price or cut variable costs per unit. Any of these increases the contribution margin or reduces the costs you must cover.
Enter the fixed costs. Enter the price per unit. Enter the variable cost per unit. Read off your break-even (units), together with break-even revenue and contribution per unit — the calculator updates automatically, with no button to press.
Related guides
Profit Margin vs Markup: What's the Difference?
Margin and markup are easy to confuse but mean very different things — and mixing them up can quietly destroy your pricing. Here's how each works, how to convert between them, and how to price for profit.
Break-even Table: Break-even (units) by Fixed costs
Reference table of break-even (units) for Break-even across a range of fixed costs values — exact, engine-computed figures you can read off at a glance.
How to Calculate Break-even: Formula, Steps & Examples
Learn how to calculate Break-even — the formula explained step by step, with worked examples and a free calculator to check your answer.