Break-even analysis worksheet with answers

A caterer expects to sell 500 meals per month. Each meal has a variable cost of €3 and the fixed costs are €4 000 per month. What is the lowest price p per meal at which the caterer breaks even?

A company sells a product for €14 per unit. The variable cost is €12 per unit and fixed costs are €2 400 per month. How many units Q must it sell per month to break even?

A company sells 2 400 units at €45 each. The variable cost is €25 per unit and fixed costs are €40 000. Find the degree of operating leverage DOL at this sales level.

A product sells for €50 per unit with a variable cost of €30 per unit. Fixed costs are €40 000 per month. How many units Q must be sold per month to make a profit of €12 000?

A product sells for €30 per unit, with a variable cost of €20 per unit and fixed costs of €10 000 per year. Budgeted sales are 1 250 units. Find the margin of safety MS as a percentage of budgeted sales.

A company sells two products. Product A sells for €15 with a variable cost of €10; product B sells for €27 with a variable cost of €15. They sell in a fixed mix of 5 units of A for every 2 of B. Fixed costs are €9 800 per month. Find the total number of units Q (A and B together) needed to break even.