标题: Operating Net Income Break even [打印本页] 作者: bigredhockey55 时间: 2011-7-13 15:08 标题: Operating Net Income Break even
I understand it like this.
Essentially operating break even is the fixed costs divided by the profit per unit, whereas the net income is fixed plus interest divided by profit per unit. In other words net income break even included financing costs and operating doesn't therefore NI break even is the only one affected by leverage, correct?作者: tikfed 时间: 2011-7-13 15:08
NI breakeven is affected by FINANCIAL leverage whereas operating breakeven is not(important distinction there).
Operating breakeven is affected by operating leverage which is the amount of fixed costs you use.