Dear Friends,
How do we calculate BEP in P&L?
Fixed Cost / (1-VC%)
is this correct?
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Break-even Point Formula
Replies (5)
Quick Summary
Your break-even point is the point at which total revenue equals total costs or expenses. At this point there is no profit or loss - in other words, you 'break even'.
Thank you so much for your kind assistance
Yes
BEP = Fixed cost / PV Ratio
PV Ratio = Contribution / Sales
Contribution = Sales - Variable Cost
BEP = Fixed cost / PV Ratio
PV Ratio = Contribution / Sales
Contribution = Sales - Variable Cost
Thank u so much
Plz send me break even point excel format
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