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Break-even analysis definitionQuestion What is the definition of "break-even analysis"?
Answer A break-even analysis is a financial estimate of the point at which earnings of the project is equal to the total cost. However, there are multiple applications of this calculation. The break-even calculation compares income vs expense, cash receipts vs cash disbursements, or value gained vs value lost as appropriate to the circumstance.
A break-even analysis is a fundamental element of any strong business and/or investment plan.
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