In accounting, the term “break-even point” refers to the level of production or sales at which a particular company neither incurs any loss nor generates any profit. In other words, a company generates just enough revenue to meet all its expenses, so it doesn’t earn any profit. Mostly ...
In accounting, break-even point means the point of sales where total revenue is equivalent to the total cost. It means at this point of sales there... Learn more about this topic: Cost-Volume-Profit Analysis & Income Statements from
The Break-even point (BEP) is the level of production where the company’s total revenues and expenses are equal. At the BEP, the revenue of the company by the sale of manufactured products is equal to the total costs incurred in manufacturing the product. In accounting terms, at this poi...
To calculate the break-even point in units use the formula: Break-Even point (units) = Fixed Costs ÷ (Sales price per unit – Variable costs per unit) or in sales dollars using the formula: Break-Even point (sales dollars) = Fixed Costs ÷ Contribution Margin. Here’s What We’ll Co...
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Break-Even DefinitionThe break-even point happens when a business’s total income equals its total expenses. The business has not generated a profit, nor has it generated a loss.Break-Even Point Expanded Definition:The break-even point (referred to as BEP) occurs when a business reaches the ...
The accounting profit break-even point provides:A. the number of units to produce to cover fixed costs.B. the number of units to produce to continue to operations in the short run.C. the number of units to produce to cover both depreciation and the fixed costs....
Break-even analysis in economics, financial modeling, and cost accounting refers to the point in which total cost and total revenue are equal.
The accounting break-even quantity is given by the sum of the fixed cost and depreciation divided by the contribution margin. Accounting break-even tells us how much product must be sold so that the firm's overall accounting profits are not reduced....
收支平衡点(Break-even Point)就是收益与损失相等的那一点, 它能够反映投资何时将产生积极回报。 收支平衡点也是销售收入与成本费用相等的那一点, 或者是总成本与总收入相等的那一点。 在收支平衡点处,既没有盈利,也没有损失。 在制定价格和决定边际利润之后,收支平衡点就成了盈利水平的底线,因此,在经营管理中,把...