Lesson Plan

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Lesson Plan
Grade: Date: 17/01/2026
Subject: Business Studies
Lesson Topic: complete or amend a simple break-even chart
Learning Objective/s:
  • Describe fixed, variable and total costs and their role in break‑even analysis.
  • Calculate contribution margin and both the break‑even quantity and value.
  • Construct and amend a simple break‑even chart using given cost and price data.
  • Interpret the chart to identify the break‑even point and evaluate the effect of changes in costs or price.
Materials Needed:
  • Whiteboard or interactive whiteboard with markers
  • Graph paper or digital spreadsheet (Excel/Google Sheets)
  • Calculator
  • Projector for slides showing formulas and example chart
  • Handout with data tables and practice activity
  • Ruler
 Introduction:

Start with a quick real‑world hook: ask students how a new product’s price and costs affect whether the business makes a profit. Review prior knowledge of fixed and variable costs and the contribution margin. Explain that today they will translate these numbers into a break‑even chart and will be able to adjust the chart when costs or price change. Success will be shown by completing a chart and correctly identifying the break‑even point.
Lesson Structure:
  1. Do‑now (5'): Short quiz on fixed vs variable costs to activate prior knowledge.
  2. Mini‑lecture (10'): Present key formulas, demonstrate plotting the total‑cost and total‑revenue lines on the board.
  3. Guided practice (15'): Work through the provided worked example – calculate CM, QBE, fill the data table and draw the chart together.
  4. Independent activity (10'): Students use the second data set to calculate values, complete their own table and sketch a break‑even chart, adjusting lines for any changes.
  5. Check for understanding (5'): Peer review of charts, teacher highlights common mistakes and confirms correct break‑even points.
Conclusion:

Recap how the contribution margin determines the slope of the revenue line and where total cost equals total revenue – the break‑even point. For the exit ticket, ask each pupil to write the break‑even quantity for a new set of numbers on a sticky note. Homework: create a break‑even chart for a product of their choice using any cost figures and be ready to explain the impact of altering fixed costs or selling price.