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The break-even point is the point - for example, the number of units sold - at which there is no profit and no loss. If - in the example - more units than the "break-even point" are sold, there will be a profit; if less are sold, there will be a loss. The reason for this is that there are fixed costs, such as salaries, that have to be paid even if no sales are made.

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12y ago
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12y ago

The amount of goods and/or services you need to sell so that your revenue (the money you collect from customers) matches your expenses (both upfront costs and per-item costs). When you break-even, you neither have loss nor gain of money, which means that even more business equals more money in your pocket.

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12y ago

The break-even point is the point - for example, the number of units sold - at which there is no profit and no loss. If - in the example - more units than the "break-even point" are sold, there will be a profit; if less are sold, there will be a loss. The reason for this is that there are fixed costs, such as salaries, that have to be paid even if no sales are made.

The break-even point is the point - for example, the number of units sold - at which there is no profit and no loss. If - in the example - more units than the "break-even point" are sold, there will be a profit; if less are sold, there will be a loss. The reason for this is that there are fixed costs, such as salaries, that have to be paid even if no sales are made.

The break-even point is the point - for example, the number of units sold - at which there is no profit and no loss. If - in the example - more units than the "break-even point" are sold, there will be a profit; if less are sold, there will be a loss. The reason for this is that there are fixed costs, such as salaries, that have to be paid even if no sales are made.

The break-even point is the point - for example, the number of units sold - at which there is no profit and no loss. If - in the example - more units than the "break-even point" are sold, there will be a profit; if less are sold, there will be a loss. The reason for this is that there are fixed costs, such as salaries, that have to be paid even if no sales are made.

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the break even is calculated as such: SP-VC=_ FC/_=(BREAK EVEN POINT) so in this case-->> £180,000-£60,000=£10,000 £30,000/£10,000 = 3 So the break eve the break even is calculated as such: SP-VC=_ FC/_=(BREAK EVEN POINT) so in this case-->> £180,000-£60,000=£10,000 £30,000/£10,000 = 3 So the break even point in here would be 3... :D