Break-even analysis worksheet with answers

A company sells a product for €12 per unit. The variable cost is €8 per unit and fixed costs are €4 000 per month. How many units Q must it sell per month to break even?

A shop has fixed costs of €30 000 per year. Its variable costs are 55% of sales revenue. What sales revenue S does it need per year to break even?

A product sells for €45 per unit with a variable cost of €25 per unit. Fixed costs are €30 000 per month. How many units Q must be sold per month to make a profit of €2 000?

A product can be made in two ways. Method A has fixed costs of €20 000 per year and a variable cost of €8 per unit. Method B, more automated, has fixed costs of €23 000 per year and a variable cost of €5 per unit. At what yearly volume Q do both methods cost the same?

A product sells for €57 per unit, with a variable cost of €45 per unit and fixed costs of €48 000 per year. Budgeted sales are 7 200 units. Find the margin of safety MS as a percentage of budgeted sales.

A product sells for €33 per unit, with a variable cost of €18 per unit and fixed costs of €30 000 per year. Budgeted sales are 3 600 units. Find the margin of safety MS as a percentage of budgeted sales.