The **breakeven point** is the point where the business is earning enough sales revenue to cover costs.

The table below shows how **total costs must be equal to sales revenue at the breakeven point**.

The graph of these figures shows the breakeven point.

The graph shows this point where the lines of **total costs** and **sales revenue** intersect- this is the **breakeven point**.

Visually the graph shows the breakeven point, but a formula is an easier option.