What is the break even equation?

Answer by  Clement (1453)

Break even equation can be written as px = vx + f, where p is the unit selling price, v - unit variable cost, f - total fixed cost and x - the number of units sold. The equation says that to break even you need to sell enough units to cover both your variable costs and your fixed costs.

Answer by  Tknight (273)

The equation is p = unit selling price, x = sales in units, FC = fixed costs, and VC = Variable Costs. px = VCx + FC, solve for x.

Answer by  oker (34)

It an equation used to find break even sale. px = vx + t p = price v = cost t= total fixed cost solve equation to get the sale

Answer by  marlee (40)

px=vx+FC p= unit selling price v= variable price FC= total fixed cost x= sales in unit $25x=$10x+$15,000 $25x-$10x=$15,000 $15x=$15,000 x = 1000 units