break even analysis
  1. the analysis of fixed and variable costs and sales that determines at what level of production the break-even point will be reached


    The break-even analysis showed that the company will only break even if it sells at least 1,000 bicycles a month.

  2. a method of showing the point at which a company's income from sales will be equal to its production costs so that it neither makes a profit nor makes a loss

    (Note Break-even analysis is usually shown in the form of a chart and can be used to help companies make decisions, set prices for their products, and work out the effects of changes in production or sales volume on their costs and profits.)
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