Break Even Point

Search for glossary terms (regular expression allowed)
Term Main definition
Break Even Point

A breakeven point is the level where total revenues equals total expenses. In other words, the break-even point is the minimal accepted point of revenue for Org. Therefore, there is no profit or loss. The revenue of Org must cover its total fixed and variable expenses for a specified period. To calculate a BEP in units: BEP in Units = Fixed Costs / (Sales Price per Unit - Variable Cost per Unit). In efficiency, a breakeven point is where outputs equal inputs. In effectiveness a breakeven point is where relevance of an output equals the outputs produced. In economics it will be where supply is equal to demand.

 

General Description...

Break-even (or break even), often abbreviated as B/E in finance, is the point of balance making neither a profit nor a loss. The term originates in finance but the concept has been applied in other fields.

 

Author - Derek Hendrikz
Hits - 122
Synonyms: BEP


FaceBook

Like


LinkedIn

Link


Youtube

Play


Twitter

Follow


Instagram

View


Skype

connect