Answer:
Q(Price -var cost) = Fixed cost
Step-by-step explanation:
Break even point is the number of units at which there is no profit or no loss.
i.e. we have total revenue = total cost
Total cost = Fixed cost + variable cost
Total revenue = no of units x price per unit
Thus break even point is the Quantity in units Q where
Q *Price = Fixed cost + var cost per unit *Q
Or Q(Price -var cost) = Fixed cost
