The Break-Even Chart

Business analysts widely use the break-event chart to represent the relationship between sales and cost. The break-even point denotes that the sales surpass the cost, which means the company will profit by selling more products. 

The chart shows the total cost, including both fixed and variable costs. The initial sales units will cover the cost until reaching the break-even point. Then the sales revenue will be shown as the profit for the business. 

Creating a break-event chart to ensure profitability is fundamental in all business administration processes.​