`break-even-point` Related Article Results

Break-even point is the level of production and sales at which a business neither makes a profit nor incurs a loss, where total revenues exactly equal total costs. At this point, the income generated from business activities covers all associated costs; if sales volume falls below this level, a loss occurs, and if it exceeds this level, a profit is generated. Key Elements Break-even point analysis is based on the following concepts: Fixed costs: Costs that remain constant regardless of the level