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Explain about the Break Even Analysis.
Break Even Analysis: Break even Analysis means that at some point within the operations, total revenue equivalent to total cost. Break even analysis is related with finding the point at that revenues and costs agree precisely – therefore the term ‘Breakeven point’. The given figure portrays the Break Even Chart.
This point is the volume of output at that neither a profit is made nor a loss is acquired. The break even analysis can be carried out graphically or algebraically (as specified in the diagram).
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