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Fundamental
Break-even
When revenues equal total costs; zero profit
Definition
Break-even point is where total revenues equal total costs, resulting in zero profit. Fixed costs remain constant regardless of output, while variable costs change with production. Break-even analysis helps determine pricing and sales volume needed for profitability.
Related Topics
#costs
#revenue
#profitability
#fixed costs
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Category: Fundamental
Fundamental analysis examines a company's financial health, management quality, and market position to determine intrinsic value.
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