O'Reilly logo

Operations Management: Processes and Supply Chains, 12th Edition by Larry P. Ritzman, Manoj K. Malhotra, Lee J. Krajewski

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

Break-Even Analysis

To evaluate an idea for a new service or product, or to assess the performance of an existing one, determining the volume of sales at which the service or product breaks even is useful. The break-even quantity is the volume at which total revenues equal total costs. Use of this technique is known as break-even analysis. Break-even analysis can also be used to compare processes by finding the volume at which two different processes have equal total costs.

Evaluating Services or Products ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required