BreakEvenPoint(BEP)

Income is equal to the loss of a point or, the option buyer to purchase premium price of a financial instrument, which means that he makes neither a loss or gain. The case of a call option, balance point is the exercise price plus the premium. Option buyers to avoid a loss condition to exercise the option price must reach the level. For a call option, which is equal to the strike price + premium paid. For a put, equal to the strike price - premium paid, but today reached the break-even point can not make up for the loss happened yesterday, nor do any future loss reserve. From the investment point of view, it does not have any contribution.
If the value management to elaborate, break-even point can be defined as OperatingProfit [ profit ] marginal level, in this level, business or investment achieved the lowest acceptable RateofReturn [ yield ], i.e. the total cost of capital.
The production and operation activities, balance of payments and the sales income and the cost equal to that point, or is the total cost and total income equal to that point. At the balance point, neither profit nor loss.
Another says that a company selling products or services access to sales and production of the product or service inputs of fixed costs of equal status, that is to say, if the company on this basis to achieve additional sales, will move toward profitability.