Business Life Planner · ReadyLife
How many do I have to sell before I stop losing money?
Fixed costs are the bills that show up whether you sell one thing or one hundred: rent, insurance, a base payroll, loan payments. Add every one you can think of.
A "unit" is whatever you sell one of: a product, an hour of service, a room night. Variable cost is what it costs you to deliver just one more of it, materials, packaging, a commission, not your rent.
This shows what happens to your profit or loss as units sold go up. The line crosses zero right at your break-even point.