Reading contribution margin
Every sale contributes price minus variable cost toward fixed costs. Once those are covered, contribution becomes pure operating profit — which is why small price raises can transform break-even math.
Units and revenue needed to break even from fixed costs, variable cost and price.
units = fixed costs ÷ (price − variable cost)
$5,000 fixed, $12 variable, $30 price → $18 contribution × ~278 units breaks even each month.
Every sale contributes price minus variable cost toward fixed costs. Once those are covered, contribution becomes pure operating profit — which is why small price raises can transform break-even math.
Rent, salaries, insurance, software subscriptions — anything that doesn't move with each unit sold.
Gross margin, markup and profit per unit from cost and selling price.
Set selling prices from cost and target markup, with resulting margin revealed.
Commission earnings from sales amount and rate, including base-plus-commission structures.
Estimate monthly mortgage payments including principal, interest, taxes and insurance for any home price.
Work out the monthly payment, total interest and total repayment for any personal or business loan.
Watch money grow with compounding — add regular contributions and choose any compounding frequency.