Tax year 2026/27

Break-Even Engine

Unit volume and revenue required to cover fixed costs and reach operating profit.

Fixed costs£24,000

Price per unit£120

Variable cost per unit£45

Target volume400 units

Break-even units

320 units

Break-even revenue

£38,400

Profit at target

£6,000

Contribution margin

£75

62.5%

Safety margin

80 units

Safety %

20.0%

Cost vs revenue

Green: revenue. Amber: total cost. Dot: break-even.