Dear All, Plz. tell me anyone what is break even point ? as my knowledge which position is company running no profit or no loss. raghu.
From India , Bangalore
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.
From India , Mumbai
re : break even point Hi ! BEP in simple terms are meant as where there is no loss or no gain and also 'broken even" in the middle layer
From India , Madras
as per financial year we calculate P & L by excluding capital expenditure revenue slitely increased/decreased/no change at status. the status is B E P(break even point) means that such a profit/ loss will not effect on market but the value will be remains no change/constant. but this deader position no benefits with this situation. like man fights with life for live-leads in business.
From India , Hyderabad
IN simple terms, BEP means where there is no profit or loss out of revenue generated from the business. your variable margin i.e Sales minus variable cost (which varies with the sales) covers your fixed cost which is niether less than nor more than fixed cost, there is point of BEP, it means, you have to do sales of that much which generates revenue to that extent which covers your fixed cost and fetch you No loss/no profit. the sales required for this is called Break Even point. BEP= Fixed Cost /Contribution (Sales -Variable Cost) in %
From India , Gurgaon
Break-Even Point - Point in time (or in number of unitssold) when forecasted revenue exactly equals the estimated total costs; where loss ends and profit begins to accumulate. This is the point at which a business, product, or project becomes financially viable.

Profits are zero at the break even point
The Break-Even Point is where Total Costs equal Sales.
Break even point is the level of sales at which profit is zero. According to this definition, at break even point sales are equal to fixed cost plus variable cost. This concept is further explained by the the following equation:
[Break even sales = fixed cost + variable cost]
Break Even Point = Fixed Costs / (selling price-variable costs).
<image no longer exists> ( The fixed costs are summarized for a specific time period.)


From India , Gwalior

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