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Businesspricing

Multi-Product Break-Even Calculator

Break-even across a product range, weighted by the sales mix. The answer depends on the mix as much as on the costs, so a month that hits its unit target through the wrong products can still miss break-even.

Also called: sales mix break even, weighted break even calculator.

₹
Break-even volume, all products
960

960 units in total at the current mix, which is ₹13,92,000 of revenue. The weighted contribution is 625 a unit across the current mix. Premium contributes 1400 and Basic only 300, so the mix matters as much as the volume. Selling nothing but Premium would break even at 429 units against 960 at the current mix. A month that hits its unit target through the wrong products can still miss break-even, which is the failure this page exists to make visible.

Break-even revenue
₹13,92,000
Weighted contribution a unit
₹625
Weighted contribution ratio
43.1%
Highest contribution
Premium, 1400 a unit
Lowest contribution
Basic, 300 a unit
Break-even if the mix shifted to the best product
429
On the mix
The weighted contribution is 625 a unit across the current mix. Premium contributes 1400 and Basic only 300, so the mix matters as much as the volume.
On mix sensitivity
Selling nothing but Premium would break even at 429 units against 960 at the current mix. A month that hits its unit target through the wrong products can still miss break-even, which is the failure this page exists to make visible.
How this is calculated

Contribution by product

Hover or drag for values
Contribution a unit

Each product in the mix

ProductShare of unitsPriceContributionMarginUnits at break-even
Basic50%₹800₹30037.5%480
Standard30%₹1,500₹65043.3%288
Premium20%₹3,000₹1,40046.7%192
Method and background

How this is calculated

With several products there is no single break-even volume, only one for a given mix. The weighted contribution per unit is the average across the mix, and the break-even is the fixed cost over that average. This is why a sales team hitting its unit target can still miss the number: selling the same volume weighted toward the low-contribution product lowers the average and raises the break-even. The page shows what the break-even would be if the mix shifted entirely to the best product, which brackets how much the mix is worth.

the weighted average contribution across the sales mix, which changes the moment the mix does
w_k
Share of units
p_k
Price
v_k
Variable cost

Worked examples

Each of these is asserted on every build. If a change to the engine ever moved one of these answers, the build would fail before the page could print it.

three products at a 50/30/20 mix

Products
Basic, Standard, Premium
Price of each
800, 1500, 3000
Variable cost of each
500, 850, 1600
Units sold of each, in the usual mix
50, 30, 20
Fixed costs a month
₹6,00,000

Break-even volume, all products960

0.5x300 + 0.3x650 + 0.2x1400

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the mix shifts to the cheapest product

Products
Basic, Standard, Premium
Price of each
800, 1500, 3000
Variable cost of each
500, 850, 1600
Units sold of each, in the usual mix
80, 15, 5
Fixed costs a month
₹6,00,000

Break-even volume, all products1,472

boundary: the same products and costs, 53% more units needed

Open this example

Method and limits

What it assumes

  • The sales mix holds at the break-even volume, which is the whole basis of the calculation.

What it deliberately does not model

  • Products that share capacity or cannibalise each other are not independent, and the mix cannot simply be chosen.
  • Fixed costs attributable to a single product should be handled separately rather than pooled.

Formula version 1.0.0 · definition 1.0.0 · India · Report a problem with this calculator

Frequently asked questions

Why does the mix change the break-even?
Because each product contributes a different amount per unit. The break-even divides by the weighted average, so shifting sales toward the lower-contribution product raises the volume needed.