Mastering the EIT Exam Calculator is essential for solving engineering economics problems. Use this break-even point module to solve for Quantity (Q), Unit Price (P), Variable Cost (V), or Fixed Cost (F).
EIT Exam Calculator
Leave one field blank to solve for it. Enter at least 3 values.
EIT Exam Calculator Formula
The standard break-even point formula used in the FE Reference Handbook is:
Source: NCEES FE Reference Handbook | Investopedia BEP Analysis
Variables:
- Q (Quantity): The number of units produced/sold where total revenue equals total cost.
- P (Price): The selling price per unit.
- V (Variable Cost): The cost incurred for producing one additional unit.
- F (Fixed Cost): Costs that remain constant regardless of production volume (e.g., rent, salaries).
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What is an EIT Exam Calculator?
During the Engineer-In-Training (EIT) or Fundamentals of Engineering (FE) exam, you are required to solve engineering economics problems quickly. A Break-Even Analysis is a fundamental concept where you determine the point at which an investment starts to generate a profit.
This calculator simulates the type of problem-solving logic required in the Civil, Mechanical, and General FE exams. It identifies the “Break-Even Point” (BEP), which is the production level where Total Revenue (P × Q) equals Total Cost (F + V × Q).
How to Calculate EIT Exam Calculator (Example)
Follow these steps to solve a typical EIT exam problem:
- Identify Costs: Determine your fixed costs (e.g., $20,000) and variable cost per unit (e.g., $5).
- Set Price: Determine the market price per unit (e.g., $15).
- Calculate Contribution: Subtract V from P ($15 – $5 = $10).
- Divide: Divide Fixed Cost by Contribution ($20,000 / $10 = 2,000 units).
Frequently Asked Questions (FAQ)
Is this calculator approved for the FE exam? While this web tool is for practice, you must use NCEES-approved calculators (like the TI-36X Pro or Casio fx-115ES Plus) during the actual exam.
What if Price is less than Variable Cost? If P ≤ V, the contribution margin is zero or negative, meaning you can never break even regardless of quantity.
Why is Fixed Cost constant? In Engineering Economics, fixed costs are assumed constant within a “relevant range” of production.
Can I solve for Price? Yes, this calculator allows you to leave the Price field blank to calculate what price you need to charge to break even at a specific volume.