Calculating the break-even point shows you:
A) How many tickets you need to sell before making a profit
B) How your cash flow will impact on the bottom line
C) What would happen if you ran the event over a longer period
D) How much tax should be paid

Question

Quizplus · Accepted Answer

The break-even point calculation helps you determine the minimum amount of sales (in this case, tickets) needed to cover your costs, beyond which you start making a profit. It does not directly relate to cash flow impact, event duration, or tax obligations.

Calculating the Break-Even Point Shows You