Break-even analysis for multiple products is made possible by calculating weighted average contribution margins. The break-even point in units is equal to total fixed costs divided by the weighted average contribution margin per unit (WACMU).

How do you calculate breakeven point in bundles?

To calculate the break-even point in units use the formula: Break-Even point (units) = Fixed Costs ÷ (Sales price per unit – Variable costs per unit) or in sales dollars using the formula: Break-Even point (sales dollars) = Fixed Costs ÷ Contribution Margin.

How can a company with multiple products compute its breakeven point?

A company with multiple products can compute a breakeven point by assuming there is a constant sales mix(weighted average) of products at different levels of total revenue.