Break-even Analysis Formulas - IB Bus Man SL 1
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Last updated 5:48 PM on 4/9/26
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10 Terms
1
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Unit contribution
Price - variable cost
2
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Contribution to fixed costs (break even quantity)
Fixed costs/unit contribution
3
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Total revenue
Price * quantity
4
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Total cost
FC + (VC * Quantity)
5
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Break Even Point
TR = TC
6
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Profit or loss
TR - TC
7
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Margin of safety
Level of demand - Break even quantity
8
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Target profit quantity
(FC + target profit)/(price - VC)
9
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Total contribution
FC / unit contribution
10
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Target profit quantity
(FC + target profit) / (price - VC)