Break-even analysis worksheet with answers

A company sells a product for €14 per unit. The variable cost is €12 per unit and fixed costs are €4 000 per month. How many units Q must it sell per month to break even?

A caterer expects to sell 2 500 meals per month. Each meal has a variable cost of €15 and the fixed costs are €25 000 per month. What is the lowest price p per meal at which the caterer breaks even?

A product sells for €9 with a variable cost of €4 per unit. Fixed costs are €25 000 per month and profit is taxed at 20%. How many units Q must be sold per month to earn €7 500 after tax?

A product can be made in two ways. Method A has fixed costs of €10 000 per year and a variable cost of €12 per unit. Method B, more automated, has fixed costs of €22 500 per year and a variable cost of €7 per unit. At what yearly volume Q do both methods cost the same?

A company sells 6 250 units at €35 each, with a variable cost of €15 per unit and fixed costs of €100 000. By what percentage %ΔΠ does operating profit change if sales volume rises by 10%?

A product sells for €8 per unit, with a variable cost of €4 per unit and fixed costs of €4 800 per year. Budgeted sales are 1 680 units. Find the margin of safety MS as a percentage of budgeted sales.