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Break-even at Brew Buddy | Activity | AQA A-Level Business (2026) Unit 3.1.4

Level:
A-Level
Board:
AQA

Last updated 22 Jun 2026

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The Brew Buddy activity develops contribution, break-even output, margin of safety and profit calculations using a small reusable coffee cup business with illustrative monthly financial data.

Students use financial information for Brew Buddy, a reusable coffee cup start-up, to assess whether the business can cover its costs. They calculate contribution per cup, determine the break-even level of output and work out the margin of safety from actual sales. Finally, they calculate total contribution and monthly profit. The worksheet develops understanding of fixed and variable costs, contribution, break-even analysis, margin of safety and how sales volume affects business profitability.

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