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    p>The existence of variable expenses complicates the calculation of breakeven point. This
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    Breakeven is a financial term to describe a business or project where the sales revenue is equal to total expenses. It is simple to calculate if the expenses incurred are fixed, i.e. it does not change as the revenue changes. But in most projects/businesses, this is not the case. The expenses usually make up of a fixed component and variable component.

    The existence of variable expenses complicates the calculation of breakeven point. This i

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    equal to total expenses. It is simple to calculate if the expenses incurred are fixed, i.e. it does not change as the revenue changes. But in most projects/businesses, this is not the case. The expenses usually make up of a fixed component and variable component.

    The existence of variable expenses complicates the calculation of breakeven point. This

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    e. it does not change as the revenue changes. But in most projects/businesses, this is not the case. The expenses usually make up of a fixed component and variable component.

    The existence of variable expenses complicates the calculation of breakeven point. This

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    t the case. The expenses usually make up of a fixed component and variable component.

    The existence of variable expenses complicates the calculation of breakeven point. This

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    p>The existence of variable expenses complicates the calculation of breakeven point. This is because the variable cost will increase as the number of units sold increases. The answer can be calculated by working out the total gross profit of the unit sold to be equal to the total fixed expenses.

    If the unit cost of the variable expenses changes not by equal amount with every unit sold (could be due to step cost, i.e. the cost increases onl

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