Break-even price is the unit selling price at which revenue covers included costs at an assumed sales volume. It is a price, not the unit quantity calculated as a break-even point. Fixed costs, variable costs and volume determine the result.[1]
Allocate fixed costs over an explicit volume assumption. Include percentage-based selling fees, which cannot always be treated as fixed additions. Different sales or return assumptions change the result. Without a declared cost scope, calling a price break-even provides no useful guarantee.
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