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Introduction

break even analysisWhy Plan for Profits?

The first step in planning for profits is to determine your break even point. To break even means that your revenues exactly cover your costs. So by using break even analysis you can find out at what point your company's revenues exactly cover its expenses.

But who wants to just break even?

Exactly. By using the Planning for Profits Analyzer, you'll be able to make better decisions relating to cost, volume, and pricing changes in your company that will help you reach targeted profit levels.

Ever wonder...

  • What will happen to your profits if your prices go up or down?
  • What will happen to your profits if your sales go up or down?
  • How much will you need to make in sales to earn a specific profit?
  • How much will you need to make in sales to cover each additional dollar in fixed costs?

To do break even analysis, you'll need a recent monthly, quarterly, or yearly profit and loss statement for your company. Then, click the Next button or Input tab.

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