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What is break even analysis?

April 26, 2017analysis break

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What is break even analysis?

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Break-even analysis is a method used in business to calculate the the total or number of items that needs to be sold during a specific period (monthly or annually) so that you are able to cover what it costs to operate your business. Break-even analysis is dependent on three variable, the average per unit cost, the monthly fixed cost and the average per unit sales price.You can find more information here: http://www.businessknowhow.com/startup/break-even.