Learn in the textbookBreak-Even Point Analysis
DefinitionSales volume (販売量) is the quantity of products or services sold in a given period, and unit price × sales volume gives sales.
ExplanationWhen the variable cost per unit is constant, total variable costs also move in proportion to sales volume. Each unit sold therefore adds a contribution margin of unit price − variable cost per unit, and these add up to cover fixed costs. Expressed as a quantity, break-even volume = fixed costs ÷ contribution margin per unit.
AnalogyAt a school fair stall, once you know how much each item leaves after ingredients, you can count how many more you need to sell to earn back the stall fee.