Question about Business Studies

[ReemShaikh]

Hey,

So what are some benefits of break-even analysis?
It doesn't specify in the book.

And I'm making a hardcore revision - I'll post it here when I'm done isA.

 

[jtbteddy]

BE Analysis benefits:
Helps to predict the level of output required to cover total costs (fixed and variable)
Helps to improve profitability, and helps to avoid any loss-making
However, it assumes that all the output will be sold, which might not be the case due to new competitors entering the market, and if a firm sells a variety of different products, it's hard to calculate the break even point

 

[jtbteddy]

I'm so nervous about the exam at what time do you have yours?

 

[ReemShaikh]

Thanks.
My exam is on Wednesday at 11am Qatar time.

 

[ReemShaikh]

And you?
jtbteddy