Use this professional etg calculator to solve for any missing variable in your business growth model. Whether you need to find the Break-Even Quantity, Unit Price, or Fixed Costs, this tool provides instant accuracy and detailed calculation steps.
ETG / BEP Calculator
Leave one field blank to solve for it.
etg calculator Formula:
The core logic of the ETG (Economic Total Growth) or Break-Even calculator relies on balancing Total Revenue against Total Costs.
Source: Investopedia – Break-Even Analysis Concepts →
Variables:
- Quantity (Q): The total number of units produced or sold.
- Price (P): The selling price per individual unit.
- Variable Cost (V): Costs that change in proportion to the good or service produced.
- Fixed Costs (F): Business expenses that are not dependent on the level of goods or services produced (e.g., rent, salaries).
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What is etg calculator?
An etg calculator is a financial modeling tool used by entrepreneurs and analysts to determine the point at which a business venture becomes profitable. In the context of unit economics, ETG stands for the variables that drive Economic Total Growth, specifically focusing on how price, volume, and cost interact.
By inputting three out of the four primary business variables, you can solve for the fourth. This allows for “What-If” scenario planning, such as determining how much you need to increase your price if your fixed costs rise, or how many units you must sell to cover a specific marketing budget.
How to Calculate etg calculator (Example):
Suppose you are launching a new product with the following data:
- Total Fixed Costs (F): $5,000 (Rent and Equipment).
- Selling Price (P): $100 per unit.
- Variable Cost (V): $60 per unit (Materials and Labor).
- Goal: Find the Quantity (Q) needed to break even.
- Calculation: $Q = F / (P – V) = 5,000 / (100 – 60) = 5,000 / 40 = 125$ units.
Frequently Asked Questions (FAQ):
Is the ETG calculator the same as a Break-Even Point calculator?
Yes, in most business contexts, the etg calculator uses the same fundamental algebraic formula to solve for quantity, price, or costs to reach a zero-profit equilibrium.
Why is Price (P) always higher than Variable Cost (V)?
If the price is lower than the variable cost, the business loses money on every unit sold, meaning it can never reach a break-even point regardless of volume.
What are examples of Fixed Costs?
Fixed costs include monthly rent, insurance premiums, software subscriptions, and administrative salaries that don’t change based on production levels.
Can I use this for service-based businesses?
Absolutely. Simply replace “Units” with “Hours of Service” or “Number of Clients” to adapt the model to a service environment.