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5 votes
To calculate a firm’s break-even point, you need to do what

User Mmelnik
by
6.7k points

1 Answer

1 vote
Create a profit function.

P(x)=R(x)-C(x)

Which is really just the difference of a revenue function minus a cost function. Though the revenue function will often be based upon a price and demand function as well :)

The you would just solve for when P(x)=0
User Konradstrack
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