break-even analysis

简明释义

损益两平分析

英英释义

例句

1.The financial team used break-even analysis to assess the viability of the new marketing strategy.

财务团队使用盈亏平衡分析来评估新营销策略的可行性。

2.The break-even analysis showed that the business would start making a profit after selling 1,000 units.

这项盈亏平衡分析显示，企业在销售1000个单位后将开始盈利。

3.The startup conducted a break-even analysis to determine how many units they needed to sell to cover their costs.

这家初创公司进行了盈亏平衡分析，以确定他们需要销售多少单位才能覆盖成本。

4.Investors were interested in the break-even analysis results before deciding to fund the project.

投资者在决定资助该项目之前，对盈亏平衡分析的结果很感兴趣。

5.Before launching the new product, the company performed a break-even analysis to ensure profitability.

在推出新产品之前，公司进行了盈亏平衡分析以确保盈利能力。

作文

In the world of business, understanding financial metrics is crucial for making informed decisions. One of the most important concepts in this domain is break-even analysis, which helps businesses determine the point at which their revenues equal their costs. This analysis is essential for entrepreneurs and managers as it provides insight into the viability of a business model and assists in setting sales targets. Essentially, break-even analysis (盈亏平衡分析) allows a company to understand how much it needs to sell in order to cover its fixed and variable costs.To perform a break-even analysis, one must first identify both fixed and variable costs. Fixed costs are expenses that do not change regardless of the level of production or sales, such as rent, salaries, and insurance. On the other hand, variable costs fluctuate with production levels, including materials and labor directly tied to the manufacturing of goods. By calculating these costs, a business can determine the total cost structure.Once the costs are established, the next step is to calculate the contribution margin, which is the difference between the selling price per unit and the variable cost per unit. This margin indicates how much each sale contributes to covering fixed costs and generating profit. The formula for the contribution margin is:Contribution Margin = Selling Price per Unit - Variable Cost per UnitWith the contribution margin in hand, businesses can then compute the break-even point using the following formula:Break-even Point (in units) = Fixed Costs / Contribution MarginThis calculation reveals how many units need to be sold to reach the break-even point, where total revenues equal total costs. For instance, if a company has fixed costs of $100,000 and sells its product for $50 with a variable cost of $30, the contribution margin would be $20. Therefore, the break-even point would be:Break-even Point = $100,000 / $20 = 5,000 unitsThis means the company needs to sell 5,000 units to cover all its costs. Understanding this metric is vital because it helps businesses gauge their sales strategies and pricing models. If sales are projected to fall short of the break-even point, management can make adjustments, such as reducing costs, increasing prices, or enhancing marketing efforts to boost sales.Moreover, break-even analysis (盈亏平衡分析) is not only useful for new startups but also for established businesses when launching new products or entering new markets. It can serve as a decision-making tool, enabling companies to assess risk and forecast profitability. Additionally, it can be beneficial for investors and stakeholders who wish to understand the financial health of a company before committing their resources.In conclusion, break-even analysis is a fundamental financial tool that aids businesses in strategic planning and operational management. By clearly illustrating the relationship between costs, revenues, and profits, it empowers decision-makers to take proactive measures in achieving financial sustainability. As the business landscape continues to evolve, mastering the principles of break-even analysis (盈亏平衡分析) will remain an indispensable skill for anyone involved in business management.