Break-even Analysis
Break-even analysis is a managerial tool used in business to estimate a fair, competitive and profitable price for products and services.
Break-even Point
Break-even Point definition :
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.
Break-even point
Break-even point is the moment in time when the outlay of expenses has been recovered through sales.
Break-even
A break-even point is the level of sales (in terms of either value of volume) needed to cover the fixed costs; the level at which a company (or business unit or product) does not make either a profit or a loss.
Break-even payment rate
The prepayment rate of a MBS coupon that will produce the same CFY as that of a predetermined benchmark MBS coupon.
break-even point
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Break-even tax rate
The tax rate at which a party to a prospective transaction is indifferent between entering
into and not entering into the transaction.
Related Terms: ...
Break-Even Point:
It is 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.
Budget ...
break-even analysis
branch of Cost-Volume-Profit (CVP) Analysis that determines the break-even point, which is the level of sales where total costs equal total revenue. Thus, zero profit results. Breakeven sales is computed as follows: ...
BREAK-EVEN EQUATION
the equation that determines BREAK-EVEN POINT. Let p = unit selling price, v = unit variable cost, FC = total fixed costs, x = sales in units. The equation: px = vx + FC.
Break-even payment rate
Definition 1.
The prepayment rate of an MBS coupon that will produce the same cash flow yield (CFY) as that of a predetermined benchmark MBS coupon.
Break-even
Definition: When a firm's short run total revenue equals its short run total cost. Below break-even output the firm makes a loss, above it a profit.
Related glossary term: ...
break-even analysis - A technique commonly used to assess expected profitability of a company or a single product. The process determines at what point revenues equal expenditures based on fixed and variable.
Break-even = the situation where costs are equal to revenues. There are several types of situations where the idea of break-even are implied.
Break-Even Point - the point at which revenues are equal to expenses.
Break-even: The point of business activity when total revenue equals total expenses. Above the break-even point, the business is making a profit. Below the break-even point, the business is incurring a loss.
Break-Even Analysis. An analytical technique for studying the relationships between fixed cost, variable cost, and profits. A breakeven chart graphically depicts the nature of breakeven analysis.
Break-Even Point
The futures price at which a given option strategy is neither profitable nor unprofitable. For call options it is the strike price plus the premium. For put options it is the strike price minus the premium.
Breakpoint ...
Break-even Weight
The weight at which it is cheaper to charge the lower rate for the next higher weight-breakmultiplied by the minimum weight indicated, than to charge the higher rate for the actualweight of the shipment.
Breakwater ...
Break-Even Analysis
A numerical and graphical technique that is used to determine at what point the firm will break even (a point of zero profit or loss). To compute the break-even point, divide fixed costs by price minus variable cost per unit.
break-even interest rate
The maximum interest rate that a firm or property can pay from available cash flow and still have enough cash flow to make all required principal and interest payments.
break-even occupancy ...
Break-even point:
The level at which all the costs sustained are covered. For example, the level of sales at which a project would make zero profit.
Français: Point de seuil
Español: Punto de equilibrio de ingresos ...
Break-Even Point. The dollar amount or unit amount of sales where total revenue equals total expenses.
Breakpoint. See Overage Rent.
Bridge Loan. See Interim Financing.
Break-Even Analysis
Calculations
Break-even analysis allows a business to understand what the minimum level of sales needed is to ensure that it does not make a loss, ...
Break-Even Point - The Break-Even point represents the amount of goods and services that a company has to sell so...
Bureaucracy Theory - The term Bureaucracy was used, for the first time, by Max Weber to describe a culture and...
Break-even Point
When a person's expenses match their income or savings then they are said to have reached the break-even point.
Break-even chart - A graph containing the total cost and total revenue functions. illustrating the break-even point.
Break-even point - The level of output where total revenue and total cost are the same.
Break-Even Point
In securities and in options, it is the price where the investor has neither a gain nor a loss from the transaction. However, the break-even point is calculated differently depending on the option strategy.
Break-Even Point - 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.
Break-even point
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.
Break-Even Point
Break even is reached when sales equals costs. Sales above the break-even point would generate profits.
Broker ...
Break-even=177.15 Rs.
2)BHEL(1348.95) March future-Lot Size 300 shares.
Premium Received=50*300=15000.00 Rs.
Break-even point
The break-even point is the level of activity at which an organization neither earns a profit nor incurs a loss.
Break-even
Break-even Point is the level of sales volume (copies sold) that must be sold in order to show nil loss / nil profit on a title
Margin of Safety ...
Break-Even and Target Income
CVP analysis is used to build an understanding of the relationship between costs, business volume, and profitability. This analysis will drive decisions about what products to offer and how to price them.
Break-even lease payment
The lease payment at which a party to a prospective lease is indifferent between entering and not entering into the lease arrangement.
Break-even payment rate ...
Break-even point in number of units: Divide fixed costs by the unit contribution margin. This formula is discussed on page 1007 in Illustration 23-18. The unit contribution margin is equal to the price per unit minus the variable cost per unit.
Cash flow break-even point
The point below which the firm will need either to obtain additional financing or to liquidate some of its assets to meet its fixed costs.
Cash flow per common share ...
Short-run break-even price The price at which a firm's total revenues equal its total costs. At the break-even price, the firm is just making a normal rate of return on its capital investment. (It is covering its explicit and implicit costs.) ...
Calculating break-even
Break Even= Sales - Variable Costs - Fixed Costs
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Also known as the break-even period.
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Also called break-even time; the time it takes to recover the premium per share of a convertible security. Premium bond A bond that is selling for more than its par value. Premium income The income received by an investor who sells an option.
[CFTC][Harvey][NYMEX] break-even analysis An analysis of the level of sales at which a project would make zero profit. [Harvey] Analysis of the level of sales at which a project would break even.
payback The break-even point of an investment. payback period The amount of time needed to break even on an investment. paydown The repayment of part of an outstanding loan balance.
Break-even analysis An analysis of the level of sales at which a project would make zero profit.
Break-even Rate On Warrant
The annual percentage growth rate required from the underlying instrument for you to break-even (avoid a loss) on a warrant....(Read more)
Break-up Value ...
Under an NIT, transfers are based on how far income falls below a "break-even" level. Those with no income receive the maximum payment, but payments fall as income rises up to the break-even point.
Break-Even Point--the stock price (or prices) at which a particular strategy neither makes nor loses money. It generally pertains to the result at the expiration date of the options involved in the strategy.
While a strategy's break-even point(s) are normally stated as of the option's expiration date, a theoretical option pricing model can be used to determine the strategy's break-even point(s) for other dates as well.
You may see situations where a contractor might pursue a "break-even" bid to generate enough cash flow to meet payroll, particularly in recession periods.
We are impressed that the company was able to come through the horrific crash in the housing market and to emerge with a reasonably strong balance sheet and to have come back to about a break-even profit level despite the fact that it is running at ...
Premiums paid or received and commissions are not considered. Thus, "at the money" should not be confused with an investor's break-even point on the option.
See: Deep In The Money; Deep Out Of The Money; In The Money; Out Of The Money ...
Financial Plan - Provides a comprehensive look at business cash flow, profit and loss, break-even analysis, and other financial indicators.
Safety Margin
Definition: Excess of actual sales over break-even point.
The Fisher equation has important implications in the trading of inflation-indexed bonds, where changes in coupon payments are a result of changes in break-even inflation, real interest rates and nominal interest rates.[citation needed] ...
For example, in a competitive merger and acquisition market, a $20 million, barely break-even company with $100,000 in EBITDA could very well sell for $3-4 million, based on a percentage of revenue, ...
The price of an options contract; also, in futures trading, the amount the futures price exceeds the price of the spot commodity. Related: inverted market premium payback period Also called break-even time, ...
When the proportion of VRIABLE COSTS is small, any increase in sales results in a significant impact on profitability beyond the BREAK-EVEN POINT, at which revenues equal total costs.
The period you must retain a mortgage in order for it to be profitable to pay points to reduce the rate. See The Break-Even Period For Paying Points on a Mortgage
Rate/point options ...
This is as opposed to an analysis made at expiration of the options used in the strategy. A dynamic break-even point is one that changes as time passes.
 See also: Expense, Banks, Prepayment, Values, Bills
  
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