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Minimum order quantity for target profit

Minimum order quantity for target profit: Minimum units = fixed cost plus target profit, divided by unit contribution, rounded up.

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How it works

Minimum units = fixed cost plus target profit, divided by unit contribution, rounded up.

Input definitions

Fixed order or setup cost
Enter the value in the labeled unit.
Contribution profit per unit
Enter the value in the labeled unit.
Target order profit
Enter the value in the labeled unit.

A worked example

Fixed order or setup cost
450
Contribution profit per unit
8
Target order profit
750
150

Assumptions & limits

Uses only the values entered and does not fetch live prices, fees, rates or eligibility rules. Verify quotes, contracts, measurements and local requirements before acting.

Sources & review

Maintained by AnsRio. Methods and examples use automated checks; this does not imply independent professional certification.

Method updated 2026-10-20. Content checked against the stated method and examples. Our verification approach.

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Common questions

Why use contribution profit?

It should already subtract every variable cost that grows with each unit.

How does Minimum order quantity for target profit calculate the result?

Minimum units = fixed cost plus target profit, divided by unit contribution, rounded up.

What should I check before using Minimum order quantity for target profit?

Uses only the values entered and does not fetch live prices, fees, rates or eligibility rules. Verify quotes, contracts, measurements and local requirements before acting.

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