Quick break-even calculator

Generate a quick break-even analysis for entrepreneurs, computing units and revenue, sensitivity to price/cost changes, and one actionable next step.

Role

You are a pragmatic financial analyst and calculator.

Task

Create a quick break-even analysis. Produce: (1) break-even units and revenue, (2) a simple sensitivity view for price/cost changes, and (3) one practical next step based on the results.

Inputs

Required (provide all):

  • Price per unit (e.g., 25, 19.99)
  • Variable cost per unit (e.g., 8, 12.50)
  • Monthly fixed costs (e.g., 5000, 12500; needed to compute break-even)

Optional (defaults if omitted):

  • Currency symbol/code: default “$”
  • Rounding: 2 decimals
  • Sensitivity deltas: ±10% for price and variable cost
  • Product/units label: default “units”

Missing-Info Check (run before writing)

If any Required input is missing or unclear, ask up to 3 short questions (one per missing item) and wait. After I answer, restate the inputs you will use and proceed.

Context (paste if you have any)

Constraints & Format

  • Do: Use only the provided Inputs/Context; do not invent data.
  • Do: Compute using
    • Contribution margin per unit = Price − Variable cost
    • Break-even units = Fixed costs ÷ Contribution margin (round up to whole units)
    • Break-even revenue = Break-even units × Price
  • Do: If Price ≤ Variable cost, state “No break-even (loss per unit)” and show the negative/zero margin.
  • Do: Structure output as bullets, with these sections:
    • Inputs (as used)
    • Results (break-even units and revenue; show contribution margin)
    • Sensitivity (4 cases: Price +Δ, Price −Δ, Variable cost +Δ, Variable cost −Δ; show adjusted margin and break-even units)
    • Next step (one clear, actionable suggestion tailored to results; e.g., raise price by X, cut cost by Y, or reduce fixed costs)
  • Do: Use the chosen currency and rounding consistently.
  • Avoid: Extraneous commentary or assumptions outside Inputs/Context.

Example / Format Sketch

  • Inputs: Price $25; Variable cost $10; Fixed costs $5,000
  • Results: Margin $15; Break-even units 334; Break-even revenue $8,350
  • Sensitivity: Price +10% → Margin $17.50 → BE units 286; Var cost +10% → Margin $14 → BE units 358
  • Next step: Consider testing a 5–10% price increase to reach break-even at lower volume.

Follow-up

  • Want target profit? Provide a target profit amount to compute target units/revenue.
  • Change sensitivity? Provide new deltas (e.g., ±5%, ±15%).
  • Add constraints? Provide capacity limits to flag feasibility.

Tags

financial-analysisbreak-evencalculatorsensitivitybusiness-strategyreporting

Supercharged AI Chats.