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Capital Markets And Institutions: A Global View In Search of Trivia: 2400 All-New Trivia Questions and Answers Small business owners can use the calculation to determine how many product units they need to sell at a given price point to break even. The Breakeven Point A company's breakeven point is the point at which its sales exactly cover its expenses. Spot bakes a cake feminist companion to John The concept of break-even analysis deals with the contribution margin of a product. The contribution margin is the excess between the selling price of the product and total variable costs. College Ready: Making the Most of Your Next Great Adventure (LifeRe... 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As illustrated in the graph above, the point at which total fixed and variable costs equal to total revenues is known as the break even point. At the break even point, a business does not make a profit or loss. Therefore, the break even point is often referred to as the ‘no-profit’ or ‘no-loss point.’