Break-even analysis (BEA) provides an answer to the question of how much turnover a company must achieve or how many products it must sell in order to recoup fixed costs.
Brief description
Break-Even analysis calculations (break-even analysis) help a company analyze changes in cost structure and define the minimum amount of sales. If a dynamic version of such analysis is used, it can determine the timing of when new products and improvements in them will bring profits. Also, investment decisions and decisions on new alternatives can be compared with each other through break-even analysis, showing the advantages of different alternatives.