How to Calculate the Break-Even Point - Definition & Formula Video


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What are the two categories compared in the break-even point?

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1. What is one of the benefits of a company being at the break-even point?

2. What numbers are included in costs?

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About This Quiz & Worksheet

Keep practicing what you know about calculating the break-even point with this assessment. Topics you need to know in order to pass the quiz include sales, expenses and fixed costs.

Quiz & Worksheet Goals

For this quiz/ worksheet, make sure you know:

  • Categories compared in the break-even point
  • Benefits of being at the break-even point for businesses
  • Numbers included in costs
  • The break-even point formula

Skills Practiced

  • Knowledge application - use your knowledge to answer questions about the break-even point categories and benefits
  • Information recall - access the knowledge you have gained regarding numbers included in costs
  • Reading comprehension - ensure that you draw the most important information about the break-even point formula from the related lesson

Additional Learning

Use the lesson entitled How to Calculate the Break Even Point - Definition & Formula to review more on this concept and accomplish these objectives:

  • Define break-even point
  • Explain why the break-even point is beneficial
  • Identify parts of the break-even point formula
  • Compare and contrast fixed costs and variable costs