Break-even chart, Cost Accounting

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Break-Even Chart

This is a diagrammatic presentation of the relationship among costs, prices, expenses and the sales volume.

A break-even chart expresses revenue and expenses and costs on the vertical scale. The horizontal scale shows volume such may represent units of sales, machine hours or direct labour hours or other appropriate cost drivers.

254_Break-Even Chart 1.png

 

Break-even chart displaying contribution margin

1718_Break-Even Chart 2.png


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