Break Even Analysis and Cost Benefit Analysis

Break-even Analysis
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Roozbeh Hojabri
ICT Consultant, Iran

Break Even Analysis and Cost Benefit Analysis

How we can I draw a relation between break-even analysis and cost-benefit analysis?

  Gaurav Pala
Manager, India
 

Relationship Between BEP-Analysis and Cost Benefit Analysis

Dear Roozbeh, Break-even analysis is a method used to find the point from where an investment for any project will give a return. It marks the point from where there will be a profit (or loss).
A cost-benefit analysis is a bit similar, but the focus is less on the equilibrium point, but more on comparing the benefits (advantages) with the costs (disadvantages) to see how they add up.

 

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