Lemonade Stand Calculator (profit & break-even cups for kids)

Understanding the lemonade stand calculator — concept and principle

This calculator helps children (and parents) plan a lemonade stand. It works out the money taken, total costs, profit, the number of pitchers to make, the cost of each cup, the profit on each extra cup and how many cups must be sold to pay for the sign and table. It is a friendly first lesson in revenue, costs and break-even.

Cups sold − what they cost — with the default inputs: $44.00 profit.

How it is calculated

Revenue = price per cup × cups sold
Pitchers to make = cups ÷ cups per pitcher, rounded up
Total costs = pitchers × ingredient cost + cups × paper cup cost + one-off costs
Profit = revenue − total costs
Cost of one cup = ingredients per pitcher ÷ cups per pitcher + one paper cup
Profit on each extra cup = price − cost of one cup
Break-even cups = one-off costs ÷ profit per cup, rounded up

The principle

Some costs come with every cup: lemonade and a paper cup. Others are paid once, whatever you sell: the sign, table and pitcher. Every cup you sell earns its price minus its own cost, and that leftover first pays back the one-off costs. After the break-even number of cups, everything extra is profit. Businesses call the leftover per item the contribution margin; it is the same idea in lemonade form. You cannot make part of a pitcher, so pitchers are rounded up.

Worked example

Defaults: price 1.00, 80 cups, ingredients 2.50 per pitcher, 10 cups per pitcher, paper cup 0.05, one-off costs 12.

Revenue = 1.00 × 80 = $80.00.
Pitchers = 80 ÷ 10 = 8.
Total costs = 8 × 2.50 + 80 × 0.05 + 12 = 20 + 4 + 12 = $36.00.
Profit = 80 − 36 = $44.00; margin = 44 ÷ 80 = 55%.
Cost of one cup = 2.50 ÷ 10 + 0.05 = $0.30; profit per extra cup = $0.70.
Break-even = 12 ÷ 0.70 = 17.1, rounded up to 18 cups.

Each point is the calculator re-run with only “Price of one cup” changed; the gold point is the default example. Change the inputs above and this chart follows your numbers.

Price of one cup	Profit (revenue − costs)
0.25	-$16.00
0.5	$4.00
0.75	$24.00
1	$44.00
1.25	$64.00
1.5	$84.00
2	$124.00

How to read the result

After 18 cups the sign and table are paid for. Each further cup adds 70 cents. Try changing the price: a higher price earns more per cup but may mean fewer customers. If you have leftover lemonade, you still paid for it, so make only as many pitchers as you think you can sell.

Common mistakes

Forgetting the paper cups.
Thinking the money taken is all profit.
Making too many pitchers, which raises costs without sales.
Not counting one-off costs because they were bought earlier.

Keep in mind: Check with a parent about safety, hygiene and any local rules for selling food or drinks outdoors.

Frequently asked questions

How much profit does a lemonade stand make?

It depends on price, costs and how many cups you sell; with the defaults, 44 on 80 cups.

What does break-even mean?

The number of cups you must sell so that the money taken covers all your costs.

Should I charge more?

You can try. A higher price raises the profit per cup, but fewer people may buy.

Sources: Cost-volume-profit relationship: break-even units = fixed costs ÷ contribution margin per unit (introductory managerial accounting)

Checked 9 Nov 2026. Profit and break-even arithmetic: break-even units = fixed costs ÷ contribution margin per unit (price − variable cost per unit), the cost-volume-profit relationship taught in introductory managerial accounting; whole pitchers rounded up.

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