Target Profit (Units)

Part of: Cost Accounting
Formula

(Fixed Costs + Target Profit) / CM Per Unit

Interactive Calculator
ComponentValue
Fixed Costs
Target Profit
Contribution Margin Per Unit
Target Profit Units—
CategoryCost Accounting
ComponentsTarget Profit Units; Fixed Costs; Target Profit; Contribution Margin Per Unit
Example(200K + 100K) / $40 = 7,500 units

Related Subjects

See Also

External Links