The point where total costs equal total sales revenue and the company neither makes a profit nor suffers a loss. Often abbreviated as BEP
(Ekonomi) In economics & business, specifically cost accounting, the break-even point (BEP) is the point at which cost or expenses and revenue are equal: there is no net loss or gain, and one has "broken even". A profit or a loss has not been made, although opportunity costs have been paid, and capital has received the risk-adjusted, expected return
Refers to the price at which a transaction produces neither a gain nor a loss In the context of options, the term has the additional definitions: 1 Long calls and short uncovered calls: strike price plus premium 2 Long puts and short uncovered puts: strike price minus premium 3 Short covered call: purchase price minus premium 4 Short put covered by short stock: short sale price of underlying stock plus premium
When a company reaches break-even point, the money it makes from the sale of goods or services is just enough to cover the cost of supplying those goods or services, but not enough to make a profit. `Terminator 2' finally made $200 million, which was considered to be the break-even point for the picture
In income property, the figure at which rental income is equal to expenses and debt service
The point at which sales revenue equals the costs and expenses of making and distributing a product
The point where total revenue equals total costs; the point of zero profits See also: Income Statement (IS) Topic areas: Fundraising and Financial Sustainability
In an HMO, the membership level at which total revenues and total expenditures are equal, thereby producing neither a net gain nor loss from operations
The volume of sales required so that the total revenue and total costs are equal A commonly used formula to calculate the Breakeven Point is Sales Revenue = Total Fixed Costs/Gross Margin
The volume point at which revenues and costs are equal; a combination of sales and costs that will yield a no profit/no loss operation
The point at which revenues and total costs are equal A combination of sales and costs that will yield a no-profit, no-loss situation, also known as Break-Even Sales
- the minimum number of sales a Direct Mail campaign must generate in order for the direct marketer to recover associated costs of the campaign
Volume of sales at which total costs equal total revenues Sales above this volume generate profits
The level of business at which the revenue ( income ) exactly equals the expenses ( outgo )
The break-even point in any business is that point at which the volume of sales or revenues exactly equals total expenses -- the point at which there is neither a profit nor loss -- under varying levels of activity The break-even point tells the manager
Where total revenue equals total costs and there is no profit or loss such as when an owner's rental income matches expenses and debt
The output of the standard break-even analysis The unit sales volumes or actual sales amounts that a company needs to equal its running expense rate and not lose or make money in a given month The formula for break-even point in units is: The formula for break-even point in sales amount is: =Regular running costs/(1-(Unit Variable Cost/Unit Price)) This should not be confused with the recovering initial investment through the regular operation of a business That concept, often confused with break-even, is called the payback period see break-even analysis for more background For more on this, see the discussion on break-even analysis in the free online book Hurdle: the Book on Business Planning